Credible sources within the Federal Ministry of Education have dismissed reports alleging that the Minister of Education, Dr. Tunji Alausa, is responsible for delaying the resumption of newly recruited staff of the Nigerian Education Loan Fund (NELFUND), insisting that no recruitment exercise has been approved for the agency.

The sources described recent media reports linking the Minister to the alleged delay as “false and misleading,” maintaining that the issue stems from concerns over unauthorized recruitment and the agency’s existing workforce.

According to the sources, NELFUND is already overstaffed, with many employees reportedly without office accommodation or clearly defined job responsibilities.

«”We can authoritatively state that there is no approval for any recruitment exercise in the Nigerian Education Loan Fund (NELFUND) as the agency is already overstaffed, with many personnel lacking office spaces and assigned schedules of duty,” one of the sources said.»

The officials further explained that the controversy predates the Minister’s involvement, revealing that NELFUND’s Executive Management had earlier met with the Board Chairman, Mr. Jim Ovia, in Lagos, where the recruitment process was reportedly halted.

According to the sources, the Chairman declared the recruitment unnecessary because it had neither received board approval nor been formally considered by the management.

They added that during the meeting, the agency’s three Executive Directors requested documentary evidence authorizing the recruitment from the Managing Director, but their request was allegedly ignored.

Despite objections from the senior management officials, the Managing Director was said to have continued with the recruitment process independently, allegedly organizing recruitment exercises and documentation outside established administrative procedures.

The sources further claimed that the Board Chairman directed that individuals recruited through the disputed process should not be placed on the agency’s payroll pending proper authorization.

“The Chairman also ordered a comprehensive review of staff ranks to ensure transparency and compliance with the organization’s established procedures,” one source stated.

According to the ministry officials, following a subsequent meeting between NELFUND’s management and the Minister of Education, the Managing Director allegedly held a private meeting with close aides and expressed his intention to continue with the recruitment exercise.

The sources urged independent verification of the events by contacting both the Board Secretary and the Executive Director of Operations, whom they said could confirm the directives issued during the Lagos meeting, including the recruitment freeze and the review of staff rankings.

The officials also painted a troubling picture of the agency’s staffing situation.

“The current status of NELFUND is alarming. Approximately 80 percent of the workforce is redundant. This was unanimously acknowledged during our recent management meeting, where all four key leaders agreed that urgent action is needed to address the redundancy crisis. At this stage, we simply cannot afford to increase staffing,” one source said.

The ministry sources maintained that the Minister’s intervention has been aimed at ensuring due process and protecting the integrity of the institution, insisting that his actions have helped prevent deeper administrative challenges within the student loan agency.

As of the time of filing this report, NELFUND had not issued an official response to the allegations.