D.S. Adegbenro Polytechnic and NELFUND Administration: Why Accountability Matters

What should happen when a student body levels fraud allegations against a tertiary institution in relation to the administration of a loan scheme meant to make higher education accessible to willing Nigerian students irrespective of financial background?

That is the question that comes to mind after watching the video put out by the president of the National Association of Nigerian Students (NANS), Babatunde Akinteye, earlier this week.

In the video, Akinteye accused the management of D.S. Adegbenro Polytechnic, Itori, Ogun State, led by the Rector, Dr. Rauf Adegoke, of inflating tuition figures submitted to the Nigerian Education Loan Fund (NELFUND), resulting in students receiving loans far above their actual school fees but not getting the extra.

Weighty Allegations

What Akinteye is saying is that D.S. Adegbenro Polytechnic is extracting higher amounts from NELFUND than the students actually need. So, instead of ₦236,000 tuition fees that Higher National Diploma (HND I) students in the institution ought to pay, the institution allegedly uploaded ₦350,000 on the NELFUND portal. And while National Diploma (ND II) students ought to pay about ₦152,000, the institution uploaded ₦330,000 on the loan platform.

If the allegation is true, what this means is that the institution is ripping off every HND I student who got the loan to the tune of N114,000, and every ND II student the sum of N178,000.

Akinteye also alleged that D.S. Adegbenro Polytechnic and several other tertiary institutions across the country have refused to refund students who paid their fees before their loan applications were approved by NELFUND, even though the institutions subsequently received loan disbursements on behalf of such students.

“The management knows very well that the loan is on the students, it is the students that will pay back this loan, and they are stealing the money from them,” Akinteye said in the video.

He warned that NANS would soon publish the names of institutions alleged to be involved in such practices and submit formal petitions to relevant authorities.

“We are going to list out all the schools that are affected. We will make a statement, we will publish the schools that have refused to refund the students,” he said.

The allegations have, expectedly, raised concerns over transparency, accountability, and oversight in the implementation of the Federal Government’s student loan programme.

Call to Action

The NANS president called on President Bola Tinubu, the Ogun State Government, the Economic and Financial Crimes Commission (EFCC), and other anti-corruption agencies to immediately launch an investigation into the allegations against the institution and other schools alleged to be engaging in similar practices.

The National Association of Ogun State Students (NOASS) also joined in calling for an investigation into the allegations.

A Vehement Denial

The management of D. S. Adegbenro ICT Polytechnic has refuted the allegations as “entirely false, misleading and without any factual basis”.

In a statement, the Rector Adegoke explained that the amount received from NELFUND covers more than tuition fees. It includes charges for Health Maintenance Organisation (HMO) services, insurance, security, and other welfare-related services which institutions are mandated by NELFUND to provide on behalf of beneficiaries, he said.

“That fund is in two categories. The first is upkeep allowance paid directly to students approved for the loan scheme. The second covers tuition and other services such as hospital care, insurance, and a few other things that NELFUND expects the Polytechnic to provide on behalf of students,” he said.

He said the institution had enrolled beneficiaries in health insurance schemes, providing HMO services, and issuing cards that gives them access to medical care at designated hospitals.

Adegoke further clarified that students who paid their tuition fees before receiving NELFUND approval had already been refunded the amounts they personally paid to the institution.

The institution’s management said the polytechnic has over the years maintained a reputation for upholding the highest standards of ethical conduct in all its operations and dealings.

It invited the NANS president and other relevant stakeholders to visit the institution on a comprehensive fact-finding exercise, including a forensic audit of all NELFUND-related records and transactions.

“As a responsible institution committed to the values of fairness, honesty and good governance, we would never engage in any act capable of undermining the laudable educational and social intervention programmes of the Federal Government, including the Nigerian Education Loan Fund. Our commitment to due process and institutional integrity remains unwavering,” the institution stated.

The NELFUND Loan Disbursement Process

Our findings show that the NELFUND loan disbursement process begins with an online application by the student, providing matriculation number, NIN, JAMB details, and BVN. NELFUND forwards the application to the student’s institution for verification. Verified and approved applications revert to NELFUND for final approval and disbursement.

NELFUND disburses the approved amount for institutional charges (school fees) directly to the account of the institution. However, if the student had already paid the fees out-of-pocket before the loan disbursement, the school will typically process a refund.

If the student also applied and got approval for upkeep (monthly stipends), the approved amount (currently N20,000) is disbursed directly to the student’s personal bank account.

Beyond Denial: Let Investigation Begin

Allegations have been made. Denials have followed. What remains now is a thorough investigation.

The allegations are weighty. The denials are vehement. It cannot be the accuser’s word against the accused. Only an investigation can unlock the logjam.

The EFCC and the Independent Corrupt Practices and other related offences Commission (ICPC) must now move in.

The EFCC, by virtue of the provisions of Sections 6 and 7 of its Establishment Act, does not require a formal petition to begin an investigation. It is legally empowered to act on reasonable suspicion, intelligence reports, whistleblower tips, or credible leads.

The NANS president has provided a lead. It has called the EFCC’s attention.

The management of D. S. Adegbenro ICT Polytechnic has also opened itself up for investigation, inviting a forensic audit of all its NELFUND-related records and transactions.

Anti-corruption agencies, the ball is now yours to kick.

Preliminary Verdict

For now, the management of D. S. Adegbenro Polytechnic has not been found guilty and cannot be held as such. Only an investigation will decide innocence or guilt.

But here’s is what we found.

NELFUND loans covering institutional fees are paid directly to the institution. Only the monthly upkeep is paid into the student’s account.

The Rector’s claim that the loan covers more than tuition is also right. Institutional fees can include anything from tuition fees to examination fees, library/resource fees, laboratory/practical fees, sport/medical fees, or identity card/ICT fees depending on the institution, course, and year of study.

But here’s what is not clear.

The Rector mentioned “a few other things that NELFUND expects the Polytechnic to provide on behalf of students”.

Now, in the interest of clarity, transparency and accountability, let the Rector spell out what constitutes these “a few other things”. Such vital information must not be shrouded in ambiguity. This is a loan that students are expected to repay beginning from two years after graduation. They deserve to know exactly how much was received in their name and how each kobo was disbursed.

This is an era of full disclosures. No stone must be left on top of the other.

And a Poser

On other hand, on the part of the NANS president who raised the alarm, what should happen if the allegations turn out to be unfounded?