News
NHIS’ Exec Sec In Fresh N25bn Fraud Scandal
Less than four months after his controversial reinstatement, the Executive Secretary of the National Health Insurance Scheme, Usman Yusuf is again in trouble over a N25 billion investment scam.
The newly inaugurated Governing Council of the agency has accused Mr Yusuf of misleading it to act against the policy directive of government by fraudulently obtaining its approval to invest the sum in securities.
The council also said the Executive Secretary concluded the arrangement for the investment before seeking its approval, contrary to the laws governing the scheme, and ignored key conditions it attached to the approval.
Mr. Yusuf was suspended by the Minister of Health, Isaac Adewole, in July 2017, following allegations of gross misconduct.
The minister then set up a panel to investigate the allegations. The panel reportedly indicted the Executive Secretary, following which the minister forwarded the report to the presidency.
But in February, without informing the minister, President Muhammadu Buhari reinstated Mr Yusuf into his office.
The development ignited an uproar, with a group of workers staging a protest at the agency against the return of the executive secretary.
President Buhari later summoned the minister and Mr Yusuf to a meeting at which he urged them to bury the hatchet and work together in the interest of the scheme.
Earlier in December, the president appointed a governing board for the scheme, alongside those of 208 other federal parastatals.
In February, he directed ministers to inaugurate the boards of agencies under their supervision. That directive was carried out on March 6 at the NHIS when the governing board was inaugurated with Enyantu Ifenne, a medical doctor, as chairperson.
However, much earlier in August while Mr Yusuf was still on suspension, the minister gave approval to the acting Executive Secretary of the scheme, Attahiru Ibrahim, to invest “idle funds” of the agency in federal government securities.
This was said to be in line with the National Health Insurance Act (Part IV, Section 11.4), which states that:
“The Scheme shall invest any money not immediately required by it in Federal Government Securities or in such other securities as the Council may, with the approval of the Minister, from time to time, determine.”
According to the letter of approval (HMH/ABJ/032/X/465), dated August 18, 2017, the minister wrote:
“It has come to my notice that the NHIS kept residual balance not immediately required for day-to-day operations idle in Treasury Single Account with the CBN. The Sum has accumulated over the years and has become somewhat sterilised as you continue to hold it in cash thereby leading to erosion in value due to inflationary trends which currently stands at 16.1%
“Following from above and in order to arrest this value erosion of the NHIS funds, I hereby approve as follows:
Commence effective immediately, starting with the sum of N10 Billion Naira (sic) up to the tune of N50 Billion Naira (sic) investments in Federal Government Securities at prevailing market determined yields.
Engage the services of any of the regulatory bodies certified investment counter parties; Cowry Asset Management Limited, Finmal Securities Limited or Elixir Investment Partners Limited to advise on the investment options and seamlessly execute same.
The investment actions and the expected returns should be captured in your 2017 budget estimates.
“It is my expectation that the returns on these investments will be used to fund part or all of the proposed interventions in the tertiary health institutions without depleting NHIS actual funds balances. I have taken the liberty to notify the Honourable Minister of Finance, Chairman Senate Committee on Health and Chairman House Committee on Health Services.”
However, 11 days later, the minister wrote again to the acting Executive Secretary to reverse his approval.
In the letter (HMH/ABJ/312/11/82) dated August 29, 2017, Mr Adewole wrote:
“This is to inform you that the Honourable Minister of Finance has advised against the proposal to invest NHIS residual funds in securities. The approval of such investment, she stated, will be an indirect violation of the Government’s Treasury Single Accounts (TSA) policy.
“In view of the above, the Central Bank of Nigeria (CBN) has been advised to pay Treasury Bill rates on any residual balance held in the TSA with CBN for Investment Trusts.
“You are therefore directed to stop all actions and processes on the investment of NHIS residual funds in securities with immediate effect and approach CBN to facilitate the payment of interest on residual funds.”
The later letter appeared to have put closure on the idea to invest the NHIS “idle funds”, until Mr Yusuf regained his office in February.
Documents revealed that shortly after his reinstatement, he engaged one of the certified investment firms, Cowry Asset Management Limited, as financial adviser and directed it to proceed with the investment, relying on the original letter of the minister conveying approval but ignoring the other letter withdrawing the approval.
He directed that N25 billion be invested in five tranches of five billion Naira each and to mature in 2034.
According to insiders at the NHIS, this was also in defiance of advice of officers at the agency, some of whom later decided to frustrate the process pending the inauguration of the governing board.
Following the inauguration of the Council on March 6, Mr Yusuf presented a memo to its first sitting on April 25, on the “urgent need to invest NHIS funds due to huge deficit spending, inflation, poor cash backing, debts owed the Scheme by banks and unauthorized deductions by the Office of the Accountant General of the Federation.”
He asked the council to approve that the NHIS management immediately commence the process of investing the residual funds in federal government securities and give progress report of the investment to council from time to time.
Based on the memo, the council approved the placement of N30 billion only in federal government securities “with no commission payment to a third party.”
Following the council’s resolution, Mr Yusuf on May 3 wrote Cowry Asset Management Limited to inform it that the council stated clearly that “there should be no payment of any commission to a third party” for the investment.
He, however, stated: “The Scheme will therefore engage Cowry Asset Management Ltd in a similar way it did its Forensic Auditors and retained Lawyer with initial engagement fee and any subsequent payments of fees presented for work done by your Company will be subject to the approval of the Tenders Board.”
After the approval, aghast insiders at NHIS made the council aware of the advice of the minister against the investment when the idea was initially muted in 2017.
Irked that the executive secretary had only presented to it the initial letter of the minister conveying his approval, it directed that no further action be taken on the investment.
The council also issued Mr Yusuf a query for misleading it to give approval for a course of action that is against the policy directive of government.
According to the query issued by the Chairman of the Governing Council, Mrs Ifenne, the council noted that its provisional approval was for “Management to initiate due process and submit a proposal to enable Council seek authorisation by the Honourable Minister of Health.”
Mrs Ifenne’s letter continued: “As it stands, Council attention has been drawn to new information which you failed to disclose in your earlier presentation.”
The council said Mr Yusuf withheld from it a letter from the minister which expressly stated that the Minister of Finance advised against investing NHIS funds in securities.
It also accused the executive secretary of engaging the financial adviser without stating the terms and conditions of engagement.
Other charges are that Mr Yusuf approved “wholesale” the proposal of the firm he engaged as financial adviser on the eve of the inauguration of the council, and directed a general manager of the scheme to expedite disbursement of N25 billion for long-term investment without obtaining prior approval of the Minister of Health as required under the NHIS Act.
He was also accused of engaging the investment advise on “vague and elastic terms”, and instructing an official to process the firm’s engagement without further reference to council for approval.
Stressing the council was not presented with all available information to enable informed decision-making on the matter, the chairman stated that the council believed that “non-disclosure of significant information misled it into error in decision which may compromise her standing.”
The query advised Mr Yusuf to explain in writing “the observed procedural lapses and failure to disclose critical information to Council.”
It directed him to present his explanation to council at its meeting scheduled for June 12.
That meeting, however, did not hold on that date due to other reasons and the council is yet to announce another date for the meeting.
Mr Yusuf did not respond to efforts by our correspondent to get his reaction on the matter as he refused to pick several calls or respond to a text message requesting his response.
News
SERAP Drags FG To ECOWAS Court Over N78.8bn Cash Transfer
The Socio-Economic Rights and Accountability Project (SERAP) has sued the Federal Government at the ECOWAS Community Court of Justice over alleged diversion, irregular expenditure and failure to account for N78.8bn allocated to cash-transfer and social-protection programmes.
SERAP, in a statement released by its Deputy Director, Kolawole Oluwadare, yesterday, said the allegations involved the Ministry of Humanitarian Affairs and Poverty Reduction, the National Cash Transfer Office and the National Social Safety Nets Coordinating Office.
The allegations were documented in the Auditor-General of the Federation’s 2024 Annual Report, published on August 7, 2026.
According to the report, the findings covered various periods between January 2023 and December 31, 2024.
In the suit, marked ECW/CCJ/APP/42/26 and filed last week, SERAP is seeking a declaration that the government’s failure to account for the funds violates Nigeria’s international human rights obligations.
The organisation is also asking the court to order the government to provide a comprehensive account of the questioned funds, investigate the alleged irregularities, recover any money improperly spent or diverted where established, and strengthen financial oversight of social-protection programmes.
SERAP argued that the alleged financial irregularities could undermine the rights of vulnerable Nigerians to social security and an adequate standard of living, including access to food, clothing and housing.
The statement party read, “The funds were intended to benefit over 3.2 million households across 35 states, whose access to financial assistance has been affected by the allegations made by the Auditor-General.”
The suit, filed by SERAP’s lawyers, Kolawole Oluwadare and Kehinde Oyewumi, stated that the government’s failure to investigate the allegations and recover any improperly spent funds violated its obligations to protect vulnerable households.
“The failure to investigate the N78.8 billion cash-transfer scandal, account for the questioned funds and recover any unlawfully spent amounts violates Nigeria’s obligations to protect the human rights of vulnerable households,” the suit partly read.
The organisation said it instituted the case to protect affected households and ensure accountability for public funds allocated for their benefit.
“SERAP brings this public-interest case to protect the interests of affected households and ensure accountability for public funds allocated for their benefit,” it stated.
The organisation maintained that cash-transfer programmes could help address extreme poverty and enable vulnerable people to meet their basic needs, but argued that the government had a duty to ensure the funds were properly managed.
“The right to social security cannot be effectively realised merely by establishing a formal cash-transfer programme where the State fails to maintain reasonable systems for identifying beneficiaries, maintaining records, reconciling disbursements, monitoring expenditure, investigating irregularities and remedying losses,” the statement further stated.
According to SERAP, the Auditor-General questioned approximately N33.751bn reportedly transferred to more than 3.2 million households across 35 states in 2023, noting that adequate records to verify the payments and reconcile beneficiary records were not provided.
The report also identified N36.744bn in payments allegedly made without prepayment audits, N4.616bn in unsupported expenditures, N350.182m for enrolment, N89.511m for store purchases and N17.422m in diesel advances.
SERAP said the suit was brought under Article 9(4) of the ECOWAS Court Protocol to protect affected households and ensure accountability for public funds intended for social protection.
“The issue is whether the government has discharged its obligations under applicable human-rights treaties to safeguard resources allocated for social protection, investigate documented financial irregularities, provide effective remedies and ensure that those resources are applied for their intended purposes,” it stated.
The organisation also cited the constitutional responsibility of the Auditor-General to audit and report on the public accounts of the Federation and the offices and agencies of the Federal Government, describing the findings in the annual report as important official records of public expenditure.
It relied on Articles 1 and 2 of the African Charter on Human and Peoples’ Rights, arguing that the government had obligations to give effect to protected rights and ensure that failures in administering social-protection programmes did not result in discriminatory exclusion or unequal access to benefits.
“The Nigerian government has the obligation to take effective measures to prevent and address corruption and related misuse of public resources. The government has failed to take appropriate measures in response to the allegations made by the Auditor-General”, the statement added.
SERAP said it had previously urged President Bola Tinubu and relevant authorities to account for the questioned funds, publish audit records, investigate irregular expenditures, recover any funds unlawfully spent or diverted and take appropriate action against those responsible.
Following the publication of the Auditor-General’s report, the organisation issued a public statement and sent a letter dated September 5, 2026, requesting action on the findings. It also sought payment and beneficiary records, verification documents and an explanation for the missing REMITA records.
“The deadline given to the government to address the Auditor-General’s findings had elapsed without adequate action,” it stated.
The organisation further cited Articles 1 and 21 of the African Charter, alongside Article 9 of the United Nations Convention against Corruption, as requiring effective measures to protect rights and resources, promote transparent public financial management, investigate irregularities and recover public funds where losses or improper expenditure were established.
SERAP also relied on the works of legal scholar Kolawole Olaniyan, including Corruption and Human Rights Law in Africa, published by Hart Publishing in 2014, and Ownership of Proceeds of Corruption in International Law, published by Oxford University Press in 2023. It said the publications provided persuasive academic authority on corruption’s effects on human rights, public resources, accountability and international legal remedies.
“SERAP accordingly submits that the Auditor-General’s findings cannot be treated merely as administrative irregularities where public funds allocated for social protection may have been lost, improperly spent or left unaccounted for, and the government fails to take effective corrective action,” the statement added.
SERAP is asking the court to direct the government to conduct an independent, prompt and effective investigation into the identified irregularities, recover public funds improperly spent, diverted or lost where established, and take appropriate legal or administrative action against those found responsible, in accordance with due process.
It also wants the government to strengthen financial accountability, beneficiary verification, auditing, reconciliation and oversight mechanisms to prevent a recurrence of the alleged irregularities and ensure that eligible vulnerable households receive their intended benefits.
The organisation is further seeking an order restraining the government from administering or disbursing cash-transfer and social-protection funds without adequate accountability and oversight mechanisms, as well as appropriate remedies for any established adverse effects on beneficiaries’ protected rights.
No date has, however, been fixed for the hearing of the suit.
News
FG releases N38.93bn to upgrade 166 tertiary institutions
The Federal Government has released N38.93bn to 166 public tertiary institutions nationwide under the Needs Assessment Revitalisation Fund to address infrastructure deficits and improve teaching and learning facilities.
The intervention covers 79 universities, 46 polytechnics and 41 colleges of education, with universities receiving the largest share of the allocation.
The Federal Ministry of Finance disclosed this in a statement issued on Sunday by its Head of Media, Efe Ovuakporie, explaining that the funds would support approved projects in beneficiary institutions.
The statement read, “The Federal Government has disbursed N38.93bn to 166 public tertiary institutions nationwide under the Needs Assessment Revitalisation Fund.”
According to the ministry, the university component accounts for N28.5bn, while N5.8bn has been allocated to polytechnics and N4.7bn to colleges of education.
According to the ministry, the university component accounts for N28.5bn, while N5.8bn has been allocated to polytechnics and N4.7bn to colleges of education.
An analysis of the allocations by PUNCH Online showed that universities would receive approximately 73.2 per cent of the announced N38.93bn intervention, making them the largest beneficiaries.
Polytechnics would account for about 14.9 per cent, while colleges of education would receive approximately 12.1 per cent.
The ministry explained that the intervention was intended to address longstanding infrastructure challenges in public tertiary institutions and support the implementation of agreements reached between the Federal Government and the Academic Staff Union of Universities.
It stated, “The intervention forms part of the Federal Government’s efforts to address the needs of public universities and support the implementation of agreed measures under the Memorandum of Understanding between the Federal Government and the Academic Staff Union of Universities.”
The Needs Assessment Revitalisation Fund is designed to support improvements in institutional infrastructure and other identified needs, particularly in public universities, where inadequate facilities have remained a recurring concern in negotiations between the government and academic unions.
The ministry said the latest disbursement would enable beneficiary institutions to begin new projects or continue previously approved interventions aimed at improving their operational capacity.
“The funds are expected to enable beneficiary institutions to commence or advance approved projects addressing critical infrastructure and other identified institutional needs, with the overall objective of strengthening the quality of tertiary education in Nigeria,” it added.
The government also emphasised the need for coordination among the Federal Ministry of Finance, Federal Ministry of Education and beneficiary institutions to ensure that the released funds produced measurable improvements.
It noted that effective collaboration would be necessary to translate the financial intervention into improved infrastructure, institutional capacity and learning conditions.
News
Senate Passes Bill For Establishment Of Federal University Of Agriculture In Rivers
The bill to approve the establishment of the Federal University of Agriculture, Emughan, Abua-Odual Local Government Area of Rivers State has passed third reading.
The Bill, titled “A Bill for an Act to Amend the Federal Universities of Agriculture Act, Cap. F22, Laws of the Federation of Nigeria, 2024” was sponsored by Senator Ipalibo Harry Banigo representing Rivers West Senatorial District.
The bill seeks to amend the existing Federal Universities of Agriculture Act to provide for the establishment of the proposed institution in Emughan community in Rivers State.
The passage of the bill by the Senate marks a significant legislative milestone towards the establishment of the proposed university.
When established, the institution is expected to expand access to higher education, promote agricultural research and innovation, develop skilled manpower, and contribute to the economic growth of Rivers State and Nigeria at large.
According to a statement made available to The Tide, the bill, having passed the Third Reading in the Senate, will now proceed to the House of Representatives for concurrence as part of the legislative process towards its enactment into law.
The bill underscores Senator Banigo’s commitment to advancing educational opportunities and strengthening agricultural development in Rivers State.
By: Kevin Nengia
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