No Fraud in Students Loan Scheme, Education Minister Clarifies

A high-level meeting convened by the Minister of Education, Dr. Tunji Alausa, has yielded a significant outcome, as he categorically stated that a thorough examination of the student loan program has not uncovered any evidence of malfeasance.

This assertion comes on the heels of a thorough review of the program, undertaken in conjunction with Vice Chancellors, officials from the National Universities Commission, and representatives from the Federal Ministry of Education.

The Minister’s declaration appears to contradict a recent statement issued by the Independent and Corrupt Practices Commission, which had initiated an investigation into alleged irregularities surrounding the disbursement of student loans.

According to Dr. Alausa, the Commission’s preliminary findings were inaccurate, and the issues at hand are primarily related to administrative timelines rather than any wrongdoing.

The controversy surrounding the student loan scheme erupted when it was reported that a substantial amount of funds, approximately N71.2 billion, could not be accounted for, despite the government’s allocation of N100 billion for the program. This discrepancy sparked widespread concern, with the National Association of Nigerian Students threatening to take to the streets in protest.

Furthermore, allegations had surfaced suggesting that certain educational institutions, in collusion with banking entities, intentionally delayed the disbursement of loan funds to students, thereby generating additional revenue. It is also alleged that unauthorized deductions, ranging from N3,500 to N30,000, were made from students’ loan allocations.