EXPLAINER: PFIPC controversy and how government agencies are established in Nigeria

ON Thursday, 29 October 2026, the Independent Corrupt Practices and Other Related Offences Commission (ICPC) re-arraigned Adeniyi Adeyemi, who was accused of falsely presenting himself as the director-general of the Presidential Foreign Intervention Promotion Council (PFIPC).

According to an ICIR report, Adeyemi was re-arraigned before the High Court of the Federal Capital Territory in Abuja on 22 amended counts bordering on forgery, impersonation and fraud involving alleged attempts to obtain government funding for the purported council.

The particulars of the amended charges, reproduced by Premium Times, allege that Adeyemi forged a document requesting a take-off grant of ₦27,395,510,136 for the purported council. Another count alleges that he attempted to secure the insertion of ₦3,850,935,000 as its 2026 personnel-cost budget proposal.

These figures represent alleged requests and budgetary proposals. They do not establish that the government approved or released the money.

Adeyemi pleaded not guilty to the charges. The allegations remain before the court and have not been established as facts.

The case has raised questions about how government institutions are created in Nigeria, the powers of the president to establish government bodies and the legal requirements for an organisation to operate as a federal agency.

What is the PFIPC controversy about?

The controversy surrounding PFIPC came to public attention after the Nigerian Presidency disowned the organisation and denied that Adeyemi had been appointed to head it.

In a statement issued on 11 June 2026, Femi Gbajabiamila, Chief of Staff to President Bola Tinubu, said the purported council did not exist under the administration and that no appointment had been made in that regard.

On 7 July 2026, the Presidency announced that Tinubu had directed the ICPC to investigate the activities of the purported council and related matters. The statement described PFIPC as fictitious and said it had not been established by the Federal Government through any law, presidential instrument, executive approval or other lawful government action. The statement was also shared in a Facebook post.

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The naming of the purported organisation varies across some official documents. While the Presidency’s statements refer to the Presidential Foreign Intervention Promotion Council, some ICPC documents and court particulars use the name Presidential Foreign Investment Promotion Council.

The controversy was further complicated by the purported council’s appearance in the 2026 Appropriation Act under the name Presidential Economic Advisory Council/Presidential Foreign Intervention Promotion Council, with an allocation of ₦1,302,978,784. The allocation comprised ₦802,978,783 for personnel costs, ₦200,000,001 for overhead expenses and ₦300 million for capital expenditure.

The inclusion of the council in the budget raised questions about how an organisation the Presidency said had not been lawfully established came to be reflected in the government’s spending plan.

In an explanation published on July 24, 2026, the Director-General of the Budget Office of the Federation, Tanimu Yakubu, said the office relied on official government documents in processing the council’s budget proposal.

According to Yakubu, the Office of the Accountant-General of the Federation had assigned the council an administrative budget code, while the Office of the Head of the Civil Service of the Federation had issued an establishment approval and recruitment waiver. He said the Budget Office used these documents to calculate the personnel-cost provision included in the budget.

The Budget Office, however, said it did not issue financial clearance for the council because the required conditions had not been met. It explained that the personnel-cost allocation could not, on its own, authorise recruitment or payment of salaries. The office also said the overhead provision did not result in a cash release and the capital provision did not lead to procurement.

An allocation in the Appropriation Act provides legislative authority for expenditure for a specified purpose, subject to applicable financial procedures and controls. However, it does not, by itself, establish that financial clearance was issued, funds were released or money was spent.

The ICPC also said its investigation found no evidence that Federal Government funds were approved for release or disbursed to the purported council, according to its interim report on the investigation.

The ICPC’s charges against Adeyemi allege that he used forged documents to present the purported council as a recognised government institution, obtain official recognition, seek government funding and support claims that he had been appointed its director-general.

These are allegations contained in the prosecution’s case. Adeyemi has pleaded not guilty, and the court will determine the case.

Who has the power to establish a government agency in Nigeria?

The power to establish a government institution depends on the nature of the institution and the legal authority under which it is created.

In Nigeria, government bodies may derive their existence from the Constitution, an Act of the National Assembly or executive action taken within powers already conferred by the Constitution or existing laws.

The distinction is important because not every government body requires a separate Act of the National Assembly. However, an announcement by the Presidency or the creation of an administrative office does not, by itself, give an organisation the legal status and powers of a statutory agency.

1. Bodies established by the Constitution

Some government institutions derive their existence directly from the Constitution. Section 153 of the 1999 Constitution provides for several federal executive bodies, while their composition and powers are further outlined in Part I of the Third Schedule.

Examples include the Independent National Electoral Commission (INEC) and the Federal Civil Service Commission (FCSC).

Because these bodies are constitutionally established, their existence and functions are grounded in the Constitution. Their powers cannot simply be altered or removed through an ordinary administrative announcement.

2. Agencies established by Acts of the National Assembly

Other government agencies are created through legislation passed by the National Assembly and assented to by the president, in accordance with the Constitution.

The Act establishing an agency typically provides for its name, objectives, functions, powers, governance structure, funding arrangements and other operational requirements.

For example, the ICPC was established under the Corrupt Practices and Other Related Offences Act, 2000.

The provisions of an agency’s enabling Act determine the scope of its authority. An agency cannot lawfully exercise powers beyond those granted by its enabling legislation or another applicable law.

3. Executive-created bodies and administrative structures

The president may also establish certain administrative structures, committees, advisory bodies and task forces without a separate Act of the National Assembly, provided the action falls within the executive powers conferred by the Constitution or existing laws.

Section 5(1) of the Constitution vests the executive powers of the Federation in the president, subject to the Constitution and laws made by the National Assembly. These powers provide the constitutional basis for the president to organise and direct the executive branch, including establishing administrative structures within the limits of the president’s lawful authority.

Such bodies may be set up to coordinate government activities, advise on policy, conduct administrative inquiries into specific issues or carry out assigned government functions. Some may also perform functions authorised under existing legislation.

However, the fact that a body was announced by the President or created administratively does not automatically give it independent statutory powers. The legal basis for its functions must be traceable to the Constitution, an existing law or another valid exercise of executive authority.

The president’s power to establish administrative structures is therefore not a blanket authority to create any institution and confer on it powers that the Constitution or existing laws do not permit.

Can the president establish a government body without an Act of the National Assembly?

Yes. The president may establish certain administrative structures, committees, advisory bodies and task forces without a separate Act of the National Assembly, provided the action falls within the executive powers conferred by the Constitution or existing laws.

Such bodies may be established to perform specific assignments, coordinate government activities or carry out functions authorised under existing laws. Their powers, however, depend on the legal authority under which they are created.

An executive announcement or administrative approval does not automatically make a body a statutory agency or give it independent statutory powers. Where a proposed institution requires legal powers that are not already available under the Constitution or existing laws, an appropriate legal framework may be necessary.

This means that the appointment of a director-general, allocation of office space, issuance of official correspondence or provision of government facilities cannot, on its own, establish that an organisation has been lawfully created or authorised to exercise particular powers.

What is the process of establishing a statutory agency?

Where the government intends to establish an agency through an Act of the National Assembly, the proposal must go through the legislative process provided for by the Constitution and the rules of the legislature.

The Constitution provides the framework for lawmaking, while the National Assembly’s Standing Orders set out the procedures lawmakers follow when considering a bill. The process generally involves the following stages:

1. Proposal and drafting of a bill

A proposal is developed outlining the need for the agency, its objectives, functions, powers, administrative structure and funding arrangements.

A bill is then drafted to provide the legal framework for the proposed institution. Depending on the subject matter, a bill may be initiated by the executive or by a legislator. However, it must be formally introduced in the relevant chamber of the National Assembly by one of its members.

2. First reading

The bill is introduced in the relevant chamber of the National Assembly. At this stage, its title is formally read and the bill is presented for consideration.

The first reading is generally a formal stage and does not involve detailed debate on the contents of the bill.

3. Second reading

At the second reading, lawmakers debate the general principles and objectives of the bill. They consider its purpose, necessity and implications.

The chamber then decides whether the bill should proceed to further consideration.

4. Committee consideration

If the bill passes the second reading, it is referred to the relevant committee for detailed examination.

The committee may invite relevant government officials, experts, stakeholders and members of the public to provide input. It may also organise a public hearing, depending on the subject and the legislature’s procedures.

The committee examines the provisions and may recommend amendments before submitting its report to the chamber.

5. Third reading and passage

The bill is considered at the final stage in the chamber, including any proposed amendments. Lawmakers then vote on whether to pass it.

For a bill to become law, it must be passed by both the Senate and the House of Representatives. Where the two chambers pass different versions, the differences must be resolved in accordance with the legislative process.

6. Presidential assent

After the bill has been passed by both chambers in the same form, it is presented to the president for assent.

Under Section 58(4) of the Constitution, the president has 30 days to signify his assent to a bill or withhold it.

If the president withholds assent, the National Assembly may pass the bill again by a two-thirds majority in each chamber, in accordance with Section 58(5) of the Constitution.

The relevant constitutional provisions can be found in the 1999 Constitution of Nigeria.

What happens after an Act is passed?

Once a bill has become law, the provisions of the Act establish the legal framework for the agency. The law may specify when it comes into force, the responsibilities of its governing board or management, its funding arrangements and how it is expected to carry out its functions.

The agency must then operate within the powers and responsibilities provided by its enabling law and other applicable regulations.

For example, the Federal Government’s budget process is coordinated through the Budget Office of the Federation, while public expenditure must comply with relevant constitutional and statutory requirements, including the National Assembly’s role in appropriation.

The funding and administrative arrangements of government bodies may differ depending on their legal status and enabling provisions. It should therefore not be assumed that every institution has an identical funding structure or receives separate budget allocations.

Ultimately, establishing a government institution involves more than appointing a director-general, allocating office space or issuing official documents. Its legal existence, functions and powers must be traceable to the Constitution, an Act of the National Assembly or another valid legal authority.

Zainab Abdulrasaq ia a reporter and a fact-checker with The ICIR. She believes that accountable citizenship starts with an accountable government, which is why she highlights injustice and everyday struggles through her reporting, one story at a time. She adores reading and can be reached via zabdulrasaq@icirnigeria.org and @blackbookishgirl on Instagram/Medium

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