The House of Representatives has launched an investigation into alleged fund diversions, non-compliance, and unethical practices in the disbursement of the student loan scheme.

It warned that such issues could derail one of the country’s most significant education interventions.

Speaker of the House, Tajudeen Abbas,who was represented by Aliyu Madaki at the opening of an investigative hearing on the matter said the legislature would not allow the student loan programme to be compromised by administrative lapses, regulatory weaknesses, or deliberate abuse of process.

The hearing, jointly conducted by the House Committee on Students Loans, seeks to investigate reports of delayed disbursements, lack of transparency, and possible collusion among key stakeholders.

Abbas described the probe as both a constitutional obligation and a moral responsibility to protect young Nigerians whose educational future depends on the integrity of the scheme.

In his submission, Akintunde Sawyer, Managing Director of NELFUND, said the Fund has received over 650,000 registrations and processes about 2,000 applications daily. He explained that all applications go through a verification process, and funds for successful applicants are paid directly to their respective institutions.

The House Committees are expected to hold further sessions to hear from key institutions, regulators, and affected students as they work toward restoring public confidence in the programme.