The Nigerian government has dragged the management of  Alabama State University in the United States to court for allegedly mishandling the scholarship funds meant for students’ books, rent and food.

According to a report by the British Broadcasting Corporation (BBC), the Federal Government is also accusing the university of charging for accommodation the students did not use and lessons they did not take.

The management of the university has denied all the allegations, telling local media that it had “adhered to and complied with every instruction and direction given to the university by the Nigerian government regarding that agreement.”

The institution however admitted that it owed the Nigerian government $202,000 which the school management said had been deposited into an account.

On the contrary, Anthony Ifediba, who represents the affected students says he believed the university authorities might have withheld as much as $800,000 from the Nigerian government.

Ifediba told the ‘Montgomery Advertiser’ that the Nigerian government had paid the university about $5 million which was meant to cover tuition and living costs of all the students.

“I hope it will sober the Alabama State University up, and its new President, to realize that what these students are talking about is very serious and it’s having an adverse effect on them legally and I’d imagine public relations-wise,” Ifediba added.