Human rights lawyer Femi Falana (SAN) has given the Attorney General of the Federation and Minister of Justice, Lateef Fagbemi (SAN), a 14-day ultimatum to initiate the recovery of $120.5 billion and N66.4 billion allegedly owed to the Federation Account by the Nigerian National Petroleum Company Limited (NNPCL), international oil companies, and other operators in the oil and gas sector.

In a letter dated June 2, 2026, written on behalf of the Alliance on Surviving COVID-19 and Beyond (ASCAB), Falana cited court judgments, government reports, and findings by oversight agencies, claiming that the funds comprise uncollected royalties, proceeds of crude oil theft, unremitted dividends, outstanding taxes and revenues, as well as funds expended on refinery rehabilitation projects.

He warned that legal action would be instituted against the Attorney-General if steps were not taken to recover the funds.

According to Falana, the largest component of the alleged debt is $62 billion in outstanding royalties owed by international oil companies, which he attributed to the Federal Government’s failure to implement provisions of the Deep Offshore and Inland Basin Production Sharing Contracts Act for 18 years.

The senior lawyer also called for the recovery of $29 billion linked to alleged crude oil theft and undeclared exports between 2011 and 2014, as well as $21.5 billion in dividends from Nigeria LNG Limited (NLNG), which he claimed were received by NNPCL but not remitted to the Federation Account.

Falana also cited a report by the Nigerian Extractive Industries Transparency Initiative (NEITI), which reportedly put outstanding revenues owed by oil and gas companies at $6.07 billion and N66.4 billion.

He urged the Federal Government to recover $2.9 billion spent on the rehabilitation of the Port Harcourt, Warri, and Kaduna refineries, alleging that the contractors failed to deliver on the projects despite receiving the funds.

The Senior Advocate of Nigeria maintained that if the Attorney-General fails to commence recovery proceedings within 14 days, ASCAB will approach the Federal High Court to compel the recovery of the funds.

Falana argued that recovering the money would significantly boost government revenue, reduce reliance on external borrowing, and strengthen the country’s economy. (Channels TV)

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