Government to evict retired workers over unpaid loans despite years of service

DDM News

The Federal Government Staff Housing Loans Board has begun compiling a list of retired civil servants who defaulted on housing loans.

This effort aims to recover mortgaged properties from retirees who failed to repay loans obtained during their service years as gathered by Diaspora Digital Media (DDM).

Mrs Ngozi Obiechina, Head of Information and Public Relations, disclosed this in a statement released on Thursday in Abuja.

She quoted the Executive Secretary, Mrs Salamatu Ahmed, as saying the recovery move is legally backed and fully enforceable.

Mrs Ahmed said the action follows a memo from Mrs Patience Oyekunle, Permanent Secretary, Career Management Office.

The memo reminded public servants about the mandatory Certificate of Non-Indebtedness required before retirement from the civil service.

This certificate must be obtained from the Federal Government Staff Housing Loans Board and the MDA Staff Multipurpose Cooperative Society.

According to Public Service Rule 021002 (p), no public servant may retire without this essential clearance document.

The Executive Secretary warned that legal action would be taken to repossess properties where loan terms were violated.

She said retirees still owing loans are also included in the recovery efforts initiated by the Housing Loans Board.

Ahmed emphasized the Board’s legal right to reclaim mortgaged property from defaulters under existing loan agreements.

Affected individuals are urged to regularise their loan status to avoid losing their government-assisted homes.

She explained that a comprehensive list of indebted retirees is being compiled for submission to enforcement agencies.

These agencies will assist in carrying out necessary actions to recover owed funds and properties.

The Board’s decision reflects a growing effort to improve financial responsibility among public sector workers.

Mrs Ahmed stressed that public funds must be protected and reinvested into housing for serving officers.

She noted that failure to repay such loans undermines future opportunities for other civil servants.

This enforcement drive is part of the government’s broader financial discipline and accountability reforms in public service.

She reiterated the need for compliance and prompt action by those affected to avoid further penalties.

The Board remains committed to following due process while recovering debts and repossessing defaulted properties across the federation.

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