Human rights lawyer and Senior Advocate of Nigeria, Femi Falana, has issued a 14-day ultimatum to the Attorney General of the Federation and Minister of Justice, Lateef Fagbemi (SAN), demanding immediate action to recover $120.5 billion and N66.4 billion allegedly owed to the Federation Account by the Nigerian National Petroleum Company Limited (NNPCL), international oil firms, and other operators in the oil and gas sector.
In a letter dated June 2, 2026, and issued on behalf of the Alliance on Surviving COVID-19 and Beyond (ASCAB), Falana argued that the funds represent unpaid royalties, proceeds from crude oil theft, unremitted dividends, outstanding taxes, and revenues as well as monies spent on refinery rehabilitation projects.
He warned that failure by the Attorney General to commence recovery action within the stipulated period would lead to legal proceedings aimed at compelling the government to act.
Falana specifically alleged that $62 billion is owed in unpaid royalties by international oil companies, which he attributed to the Federal Government’s failure to enforce provisions of the Deep Offshore and Inland Basin Production Sharing Contracts Act over an 18-year period.
He also claimed that $29 billion stemmed from crude oil theft and undeclared exports recorded between 2011 and 2014, while another $21.5 billion represents dividends from Nigeria LNG Limited (NLNG) which he said were received by NNPCL but not remitted to the Federation Account.
Citing findings from the Nigerian Extractive Industries Transparency Initiative (NEITI), Falana further alleged that oil and gas companies owe $6.07 billion alongside N66.4 billion in outstanding revenues.
He also demanded the recovery of $2.9 billion reportedly spent on the rehabilitation of the Port Harcourt, Warri, and Kaduna refineries, alleging that contractors failed to deliver on the projects despite receiving payments.
Falana maintained that if no action is taken within 14 days, ASCAB will approach the Federal High Court to compel recovery of the alleged funds.
He argued that recovering the sums would significantly boost national revenue, reduce reliance on external borrowing, and strengthen Nigeria’s economic stability.
