The halls of the House of Representatives are abuzz with discussions surrounding the alleged mishandling, diversion, and lack of transparency in student loan disbursements. The representatives are deeply concerned about possible non-compliance with the Student Loans Act of 2024. In response to these alarming issues, the House has taken decisive action.
“The Green Chamber mandates committees to investigate the troubling student loan disbursement issues.”
A motion put forward by Aliyu Abdullahi during a recent plenary session prompted this critical investigation into the matter. The Student Loans (Access to Higher Education) Act, established to facilitate fair access to interest-free loans for Nigerian students pursuing higher education, lies at the heart of this inquiry.
“The Government has disbursed over N54 billion to support more than half a million student applicants.”
As reported by BusinessDay.ng, concerns have been raised regarding potential collusion between certain educational institutions and financial entities. There are allegations that some schools might be involved in delaying or redirecting loan disbursements meant for students under the Nigerian Education Loan Fund (NELFUND).
“Reports suggest mismanagement and lack of proper verification in handling student loans.”
Lawmakers fear that without stringent oversight and enforcement mechanisms, malpractices like inflating school fees on loan applications and disbursing funds post-graduation may persist unchecked. Such actions not only undermine public trust but also jeopardize the integrity of the entire student loan system.
In light of these troubling revelations, it is imperative for NELFUND to adopt sophisticated IT solutions aimed at improving verification processes and streamlining operations within its framework.
“NELFUND must enforce strict penalties against institutions violating guidelines.”
The House also stressed the need for NELFUND to promptly notify relevant authorities about any institution found breaching regulations and take appropriate disciplinary actions as necessary.
As reported by BusinessDay.ng, this thorough examination underscores a significant commitment from legislators towards safeguarding students’ rights and ensuring accountability within the education financing ecosystem.
—
**Source:** businessday.ng
Editor’s Note: For more details on this developing story as well as additional news coverage, please visit [BusinessDay](https://businessday.ng/news/article/reps-probe-student-loan-disbursement-ask-schools-to-refund-tuition-fees/).
Leave feedback about this