Prominent human rights lawyer and Senior Advocate of Nigeria (SAN), Femi Falana, has issued a 14-day ultimatum to the Attorney-General of the Federation (AGF), demanding urgent action to recover billions of dollars and trillions of naira in alleged unpaid revenues owed to the Federation Account by operators in Nigeria’s oil and gas sector.
Speaking on Politics Today, a current affairs programme on Channels Television, Falana argued that Nigeria cannot continue borrowing heavily while substantial public funds remain uncollected.
“We cannot be taking loans running into billions of dollars while the government is not prepared or cannot muster the political will to collect about $120.5 billion,” Falana said.
The senior lawyer stated that much of the information underpinning his demands is already in the public domain and has been documented through court rulings, government investigations, and reports by regulatory agencies.
Supreme Court Judgment on Oil Royalties
Falana referenced a long-running dispute over unpaid oil royalties, noting that the Supreme Court had, in October 2018, ordered the Federal Government to recover approximately $62 billion allegedly owed by international oil companies.
According to him, the case originated from legal action by the governments of Rivers, Bayelsa and Akwa Ibom states, which sought to compel the Federal Government to recover the outstanding royalties.
“The Supreme Court ordered the Federal Government to collect the funds. An accounting firm later confirmed the figure at about $62 billion,” he said.
Nigerian Extractive Industries Transparency Initiative (NEITI) Report and Other Claims
The Advocate also cited findings from the Nigerian Extractive Industries Transparency Initiative (NEITI), which reportedly identified additional liabilities amounting to $6.4 billion and ₦66.4 billion in its 2024 industry audit report.
He urged the Attorney-General to collaborate with the Economic and Financial Crimes Commission (EFCC) to recover the funds and ensure they are paid into the Federation Account.
In addition, Falana called for the recovery of dividends from Nigeria LNG (NLNG), which he alleged are routinely withheld from the Federation Account.
He further alleged that about $29 billion could be recovered from shipping and oil companies implicated in crude oil theft and unaccounted exports.
Questions Over Refinery Rehabilitation Funds
He also raised concerns over funds spent on refinery rehabilitation, claiming that successive governments have spent more than $25 billion on refinery repairs over the past 27 years with little to show for it.
Particular attention was drawn to a $2.9 billion refinery rehabilitation contract awarded during the Buhari administration.
“Since the refineries were not fixed, we are simply saying the money should be recovered from the contractors who collected it,” – he said.
The senior advocate disclosed that he is monitoring ongoing investigations into the refinery contracts and warned that public officials would eventually be required to explain how the funds were spent.
Dangote Refinery Investment Questions
The lawyer also questioned the circumstances surrounding the Nigerian National Petroleum Company Limited’s (NNPCL) investment in the Dangote Refinery.
According to him, the Federal Government had directed NNPCL to acquire a 20 per cent stake in the refinery at a reported cost of $2.7 billion.
However, he noted that Dangote Refinery management had publicly stated that it received only about $1 billion, representing approximately a 7 per cent equity stake.
“Some explanations will have to be given very soon because we cannot be talking about these colossal sums of money while we are taking loans and our people are suffering,” he said.
Security Crisis and State Policing Debate
Beyond economic concerns, Falana expressed deep concern over Nigeria’s worsening security situation and questioned the ongoing push for state police.
He argued that Nigeria already has multiple state-backed security structures, including regional outfits such as Amotekun and various neighbourhood watch organisations.
According to him, the more pressing issue is inadequate funding and equipment for existing security agencies.
“Equip the armed forces. Motivate the armed forces. Equip the police force. Motivate the operatives working in the security sector,” he said.
Falana maintained that the Nigerian military has demonstrated its capability in numerous United Nations, African Union and ECOWAS peacekeeping missions and could effectively combat insurgency if properly funded and equipped.
Concerns Over Security Votes
The legal activist also criticised the management of security funds, revealing that approximately ₦525 billion was earmarked as security votes by Nigeria’s 36 state governments between 2023 and 2025.
“If a substantial fraction of what is set aside for security votes is spent on securing the people, we will not have this problem,” he stated.
Court Action Looms
He warned that should the Attorney-General fail to act on his demands within the stipulated period, legal proceedings would commence, adding, “We are going to court.”
The senior lawyer said the objective is to ensure accountability in the management of public resources and recover funds that could significantly reduce Nigeria’s dependence on borrowing while improving public services and national development.
