Umar Isa Ajiya, former Chief Financial Officer of the Nigerian National Petroleum Company Limited (NNPC Ltd), has been indicted for allegedly authorising the payment of N3.4 billion without the mandatory approval of the Group Managing Director (GMD).
The findings are detailed in the 808-page 2022 Auditor-General’s Annual Report, published in August 2025 and recently submitted to the National Assembly.
According to the report, the payments—processed under a special funding request—were made without supporting documents, breaching the 2009 Financial Regulations.
“The sum of N3,445,022,107.40 was paid… without attaching the relevant supporting documents,” the report stated.
It further noted that Ajiya approved the multi-billion-naira transactions “without evidence of approvals of the GMD,” even though the amount exceeded his authorised approval limit.
The audit report noted that the CFO granted the “approval for the payments without evidence of approvals of the GMD”, adding that when the “amounts were above the CFO’s approval threshold, the audit was not availed with the opportunity to confirm the actual expenditures from these special funds as they were mostly outside the NNPC Towers.”
Auditors said they were unable to verify how the money was utilised because the transactions were executed outside NNPC headquarters, raising concerns about transparency and accountability.
The report flagged the issue as a sign of weak internal controls, warning that such actions could lead to diversion or loss of public funds.
Umar Isa Ajiya who served as CFO from 2019 after being appointed by former President Muhammadu Buhari, also oversaw NNPC’s financial transition under the Petroleum Industry Act (PIA) 2021. He was replaced in November 2024 by Adedapo Segun.
This development comes amid separate allegations the former CFO is facing. In June, this newspaper reported that he was questioned by the Economic and Financial Crimes Commission (EFCC) over an alleged $7.2 billion fraud linked to refinery rehabilitation projects in Kaduna, Warri and Port Harcourt.
Although EFCC sources described his appearance as an arrest, Ajiya insisted he was not arrested or detained.
NNPC Responds
In its response to the audit query, NNPC Ltd said the N3.4 billion payments were inter-company transfers to subsidiaries—PPMC, NPSC and WRPC—to support operational activities.
The company also said the approvals were issued in line with its Board-approved Delegation of Authority, which empowers the CFO to authorise such transfers.
NNPC added that it would provide all necessary documentation once the auditors specify the particular transactions that require verification.
Audit Office Rejects NNPC’s Defence
However, the Auditor-General dismissed NNPC’s explanation as “not satisfactory”, insisting the findings remain valid until corrective actions are taken.
“Audit notes the management’s response but it is not satisfactory. Therefore, the findings remain valid,” the report concluded.
