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$3.4 billion IMF COVID-19 loan diverted under Buhari – Falana *Demands prompt probe
Nothing but prompt probe by the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) into the alleged criminal diversion of the $3.4 billion loan obtained from International Monetary Fund (IMF) by Nigeria to fight the COVID-19 pandemic will satisfy Femi Falana, foremost Nigerian rights activist.
Falana, a Senior Advocate of Nigeria (SAN), who made his position known in a statement he signed on behalf of the Alliance on Surviving COVID-19 and Beyond (ASCAB) on Sunday, also called on the IMF board to probe alleged deliberate refusal of its management to ensure that the emergency funds were “used for their intended purposes.”
He further urged the IMF to suspend the collection of the scheduled charges, including net charges, basic interest, and administrative fees, amounting to SDR 125.99 million (N275.28 billion) pending the conclusion of its investigation.
Falana spoke against the backdrop of last week’s announcement that the Fund confirmed that Nigeria had fully repaid the $3.4 billion COVID-19 financial support it got under the Rapid Financing Instrument (RFI).
However, records show that despite the country’s principal balance standing at zero, the scheduled charges, including net charges, basic interest and administrative fees, amount to SDR 125.99 million, which at the current exchange rate, tanslateds to approximately N275.28 billion.
Vexed by the situation, Falana wrote: “It is pertinent to recall that in the wake of the COVID-19 in 2030, Nigeria requested emergency assistance of about US$3.4 billion—equivalent to 100 percent of its quota from the International Monetary Fund to shore up the country’s economy and help businesses weather the storm of a deadly pandemic that disrupted global markets and plunged the world into a recession.
“At the meeting of the IMF Executive Board held on April 28, 2020, the financial support of $3.4 billion was approved to provide critical support to shore up Nigeria’s health care sector, and shield jobs and businesses from the shock of the COVID-19 crisis. In particular, the loan was designed to help alleviate the impact of the COVID-19 pandemic and the sharp fall in oil prices, and also help limit the decline in international reserves.
“Following the executive board’s discussion of Nigeria, Mr. Mitsuhiro Furusawa, Deputy Managing Director and Acting Chair, stated that, ‘The emergency financing under the RFI will provide much needed liquidity support to respond to the urgent BOP needs. Additional assistance from development partners will be required to support the government’s efforts and close the large financing gap.
“The implementation of proper governance arrangements—including through the publication and independent audit of crisis-mitigating spending and procurement processes—is crucial to ensure emergency funds are used for their intended purposes (emphasis ours).
“Characteristically, the IMF management, which jointly manages the neocolonial economy of Nigeria with the Federal Government, failed to ensure emergency funds were used for their intended purposes.”
A 2020 audit report by the Office of the Auditor-General of the Federation, released in January 2024, which had flagged several irregularities in the handling of the fund, had observed that on April 30, 2020, $2.4 billion of the loan was transferred to the CBN’s account at the Federal Reserve Bank of New York, while the remaining balance went to the CBN’s account at the Bank of China, Shanghai.
The report further stated that by June 1, the $2.4 billion had been moved to the Bank for International Settlements (BIS) for short-term investments. The funds in China were similarly transferred to the Industrial and Commercial Bank of China (ICBC).
Regarding the development, Falana, said: “These transactions, according to the audit, were not supported by documentation or approvals from the Federal Government or the CBN’s Investment Committee and that the funds were subsequently reclassified as part of the CBN’s external reserves rather than the Federal Government’s holdings. This reclassification, the report noted, allowed interest to be earned on the funds, contrary to the emergency spending purpose for which they were approved.
“Furthermore, the report stated that on August 7, 2020, the Federal Ministry of Finance requested the monetisation of $700 million to support the 2020 federal budget. One week later, the CBN approved a debit of N265.65 billion, applying an exchange rate of N379.5/$, higher than the official N360.5/$ rate at the time.
“The funds were credited to three separate accounts: N252 billion to the COVID-19 Public Sector Account, N13.3 billion to the Forex Equalisation Account, and N350 million to the Exchange Commission Account.
“The audit noted that a two percent commission was deducted from the monetised amount, even though the funds were categorised as Federal Government property. At the end of 2020, an unmonetised balance of $2.7 billion — equivalent to approximately N1.02 trillion — remained unaccounted for, according to the Auditor-General’s report.”
“The report recommended that the CBN Governor should explain the movement and classification of the funds without proper authorisation. It also requested bank statements to confirm the unmonetised balance and demanded the recovery of N13.3 billion and N350 million into the Federal Government’s account. It further called for the remittance of all interest earned from the investments and warned that sanctions under relevant financial regulations would be applied if there was no accountability.
“The Auditor-General wants the money recovered and remitted to the public treasury and for the evidence of remittance to be forwarded to the Public Accounts Committee of the National Assembly. The Auditor-General also recommended that anyone suspected to be involved should be sanctioned and handed over to the EFCC and ICPC for investigation and prosecution, as provided for in paragraph 3112 of the Financial Regulations.
“Even though the Auditor-General of the Federation submitted the 2020 Annual Report to each House of the National Assembly, both Houses have failed to cause the report to be considered by the committees responsible for public accounts, in order to cover up the criminal diversion of the $3.4 IMF and several trillions of Naira set out in the Auditor-General’s report, in utter contravention of section 85(5) of the Constitution of the Federal Republic of Nigeria as amended.
“In view of the foregoing, the Alliance on Surviving Covid-19 and Beyond (ASCAB) hereby calls on the Economic and Financial Crimes Commission and the Independent Corrupt Practices and Other Related Offences Commission to investigate the criminal diversion of the $3.4 billion loan obtained by Nigeria to fight the Covid-19 pandemic.
“We also call on the IMF board to probe the deliberate refusal of its management to ensure that the emergency funds were used for their intended purposes. Meanwhile, the IMF should suspend the collection of the scheduled charges, including net charges, basic interest, and administrative fees, amounting to SDR 125.99 million (N275.28 billion), pending the conclusion of its investigation.”
Nafiu Bala Gombe, the man on whose behalf the African Democratic Congress (ADC), is currently in a prostrate state, has admitted to getting outside help in prosecuting his legal matters against the David Mark camp.
Recall that Mark, former Senate President and Rauf Aregbesola were, last week, derecognised by the Independent National Electoral Commission (INEC), and had their names struck out based on the case filed by Gombe on September 2, 2025.
The commission had relied on the pronouncement of the Court of Appeal, which ordered parties in the case to maintain status quo ante bellum, which it interpreted to mean that it should not deal with either side.
Against the backdrop of the dust the matter had raised across the country, the embattled ADC leadership, had accused the former Deputy Chairman of being sponsored by the All Progressives Congress (APC) to play the spoiler role to enable President Bola Tinubu have no challenge in the 2027 presidential election.
Bolaji Abdullahi, spokesman of the Mark camp, had last week, stated this much when he wondered how Gombe, who on his own could not afford an ordinary lawyer, going by his financial status, would now be hiring more than three Senior Advocates of Nigeria (SANs) to represent him, which would probably run into tens of millions of naira.
Reacting on Tuesday, Gombe admitted getting outside help, but added that such assistance was not coming from government quarters or the APC, but from public-spirited individuals and Nigerians averse to the injustice being meted out to him.
Abimuku Monday, spokesman to Gombe, who spoke during an appearance on Morning Briefs, a breakfast programme on Channels Television, on Tuesday, told his host: “Before now, they were saying these people are big weights and we’re light weights. Now, we’re suddenly being seen as human beings. Earlier, we were seen as nobodies – as boys who don’t have capacity to challenge this in court.
“They say Nafiu Bala does not even have money to pursue his case. You see, that’s how they reduce people by their own estimation. They don’t find out who people. They have forgotten that for you to seek legal actions, there are so many ways to go about it.
“It is either you use your own money or your personal relationship with people. Does it mean that somebody in politics cannot have his own friends or cannot have lawyers as his friend or cannot have other members of the society as his friends.
“These are not members of the APC. They don’t belong to any party. They’re citizens of this country, who mean well for Nigeria. Nobody is scuttling the coalition. The fact remains that if you have a challenge, people will rally around you knowing it’s a good cause you’re fighting. People will rally around you to give you the necessary support that you need. They even called my principal a small boy.”
Serah Luca, a Christian woman, has returned N1 million she unknowingly took along with goods purchased from a trader at Terminus market in Jos, Plateau state capital.
Luca, a petty trader, reportedly said she made the purchase on Friday and only discovered the hidden cash after getting home.
She said her decision to return the money was driven by fear of God and her belief that she could not keep what did not belong to her, especially knowing the hardship that comes with losing money in business.
“I am a petty businesswoman. I know what it means to suffer loss. If I put that kind of money into my business, I believe God would punish me,” Daily Trust quoted her as saying.
The trader, Abubakar Dola, who deals in polythene bags at Terminus market, expressed surprise at the woman’s honesty, noting that he had no idea where the money went after mistakenly placing it inside the bag she bought.
Dola said he had planned to transfer the cash through a point of sales (POS) operator but became worried when he could not see the polythene bag where the money was kept.
“I mistakenly included it in what she bought. I didn’t realise until days later, and I had already given up hope. For her to return it after three days is remarkable. I pray Allah rewards her and gives us more people like her.”
“The entire country could be taken out in one night, and that night might be tomorrow night,” were the words with which US President Donald Trump, flashed the redlight signal over what could be the fate of Iran in the coming hours, after a month-old war, which saw leaders of the Islamic nation, all but totally obliterated.
The POTUS, who on Saturday, gave Iran 48 hours to to open the Strait of Hormuz to shipping traffic approaches, or comply or risk facing “hell,” later threatened that the US would blow up Iran’s power plants and bridges if Tehran failed to adhere to his warning.
However, in his latest threat on Monday, Trump told reporters that Iran had until Tuesday at 8 p.m. ET (1 am WAT) to make a deal, adding: “We have a plan, because of the power of our military, where every bridge in Iran will be decimated by 12 o’clock tomorrow night, where every power plant in Iran will be out of business – burning, exploding and never to be used again, I mean complete demolition – by 12 o’clock. And it’ll happen over a period of four hours if we want it to. We don’t want that to happen.”
Nafiu Gombe: Yes, I have sponsors! *I can’t fight ADC big men alone!
Woman returns N1million discovered in purchased items to owner
Strait of Hormuz: Comply now or you’ll be history – Trump warns Iran
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