Madiba Advocates Fault Silence of Authorities, Call for Probe into Alleged ₦297bn NSITF Irregularities Linked to MD Oluwaseun Faleye
Madiba Advocates for Good Governance has urged President Bola Ahmed Tinubu, the Honourable Minister of Labour and Employment, the NSITF Management Board, and relevant authorities to immediately investigate the persistent allegations of financial irregularities and governance breaches linked to the Managing Director of NSITF, Mr. Oluwaseun Mayomi Faleye, noting that the matter has lingered in the public space without any clear institutional response.
The development follows a series of petitions and public disclosures that have circulated in recent weeks, drawing attention to the activities of the Managing Director/Chief Executive Officer of NSITF, Mr. Oluwaseun Mayomi Faleye.
The concerns have now been amplified by Madiba Advocates for Good Governance, a civic accountability group, which has called on relevant authorities to urgently intervene and ensure transparency in the management of the Fund.
At the centre of the controversy are allegations involving the management of approximately ₦297,019,145,288.60 in funds collected under the Employees’ Compensation Act (ECA) between January 2 and October 9, 2025.
The Employees’ Compensation Scheme is funded through mandatory employer contributions designed to provide compensation to Nigerian workers who suffer injury, disability, or death in the course of employment.
Stakeholders have stressed that the funds are not government revenue, but trust funds belonging to Nigerian workers, requiring strict oversight and accountability.
₦243bn Allegedly Spent Without Board Approval
Documents referenced in the public domain indicate that out of the total inflow of ₦297 billion, an estimated ₦243,203,518,621.17 was expended within the same period.
Sources allege that a significant portion of these expenditures may have been carried out without the approval of the NSITF Management Board, raising questions about compliance with the NSITF Act and established financial regulations.
‘No Approval Limit’ Raises Governance Concerns
Central to the allegations is an internal document reportedly linked to a March 4, 2025 Executive Committee (EXCO) meeting, which outlined financial approval thresholds for officials.
While limits were reportedly set for other officers, the Managing Director was allegedly assigned “no approval limit”, a development that has raised concerns among stakeholders about internal controls and governance safeguards.
Multiple Accounts and Financial Flow Allegations
Further reports allege the existence of over 100 bank accounts linked to a single BVN, as well as financial inflows amounting to over $7.3 million and hundreds of millions of naira into accounts linked to the MD and associated entities.
Analysts say such patterns, if verified, would require thorough scrutiny by relevant financial and regulatory authorities.
₦5.5bn Commission Payments Queried
Additional concerns have been raised over alleged commission payments totalling ₦5.53 billion, reportedly made without clear evidence of requisite approvals from the Board or supervising Ministry.
The payments, sources claim, ranged between 15 and 20 per cent commissions and were executed outside standard procedures.
Governance Gap Raises Further Questions
Observers have also pointed to a governance gap between July 2023, when the MD was appointed, and January 2025, when the Board was reportedly constituted, raising questions about oversight during that period.
Call for Urgent Investigation
Reacting to the development, Madiba Advocates for Good Governance, led by its Executive Director, Alhassan Kabiru, expressed concern over the lingering nature of the allegations and the absence of clear institutional response.
The group called on:
• The Chairman of the NSITF Management Board,
• The Honourable Minister of Labour and Employment,
• Relevant regulatory and anti-corruption agencies, and
• President Bola Ahmed Tinubu,
to urgently look into the matter and ensure a thorough investigation is conducted.
According to the group, addressing the allegations transparently is critical to restoring confidence in public institutions and safeguarding workers’ funds.
“This matter has lingered in the public space without clarity. It is important that the appropriate authorities take decisive steps to investigate and establish the facts,” the group stated.
They further noted that failure to address the concerns could undermine public trust and does not align with the Federal Government’s Renewed Hope Agenda on accountability and good governance.
Responses and Presumption of Innocence
When contacted, Mr. Faleye reportedly stated that he was not aware of the allegations. Officials of the Ministry of Labour were also said to have denied prior knowledge of the claims, while the NSITF Board Chairman indicated that the issues would be verified.
All allegations remain unproven and subject to investigation.
A Test of Accountability
Analysts say the situation presents a significant test of Nigeria’s public finance accountability framework, particularly for institutions entrusted with workers’ welfare.
Madiba Advocates for Good Governance warns that the continued delay in addressing these allegations is not only concerning but risks sending the wrong signal on accountability in public institutions. The organisation calls on the Presidency, the Ministry of Labour, and the NSITF Management Board to take immediate steps to investigate the issues and restore confidence in the system. Failure to act decisively may further weaken public trust and contradict the core objectives of the Renewed Hope Agenda.
