img Nigerialog.com - Nigeria's Premier Online Forum - Breaking: British court orders Irish firm to seize $9b Nigeria’s foreign reserves
Welcome, Guest.
Did you miss your activation email?

Date: September 18, 2019, 12:34:18 AM

Contact
imgimgimg

Breaking: British court orders Irish firm to seize $9b Nigeria’s foreign reserves: Politics : Nigerialog.com - Nigeria's Premier Online Forum

74 views

Breaking: British court orders Irish firm to seize $9b Nigeria’s foreign reserves

By: dayan (M) |Time : August 16, 2019, 05:02:32 PM
…Deal struck during Ex-President Goodluck Jonathan’s government

By Anthony Ogbonna

A British court has ordered an Irish firm, Process and Industrial Developments Ltd (P&ID) to seize 20 per cent in assets, of Nigeria’s foreign reserves, amounting to $9bn (£7.4bn).

Court-logo.jpg

Justice Butcher of the British Commercial Court gave the ruling on Friday. The ruling will likely raise concerns among foreign investors.

The case dates back to 2010, when Dr. Goodluck Jonathan was Nigeria’s president. The Nigerian government, under Dr. Jonathan, had struck a deal with the Irish firm to supply gas to a processing plant built and run by P&ID in Calabar.

The agreement was for a 20-year deal.

But the Nigerian government failed to keep to her own side of the agreement, prompting the firm to take the case to court.

Meanwhile, in 2013, P&ID won a $6.6bn arbitration case against Nigeria.  The figure was calculated based on what the company was estimated to have earned over the course of the 20-year agreement.

But in today’s ruling, the firm said the amount had risen to $9bn following interest accrued so far, reports City A.M.

Today’s decision means that the arbitration is converted into a legal judgement, allowing P&ID to attempt a seizure of the assets.

Andrew Stafford QC, P&ID’s lawyer, said: “We are pleased that the Court has rejected Nigeria’s objections both to the arbitration process and to the amount of the award, and that it will grant permission to P&ID to begin enforcement of the award in the United Kingdom.”

He added: “P&ID is committed to vigorously enforcing its rights, and we intend to begin the process of seizing Nigerian assets in order to satisfy this award as soon as possible.”

Source

Re: Breaking: British court orders Irish firm to seize $9b Nigeria’s foreign reserves

By: dayan (M) |Time : August 16, 2019, 05:13:21 PM
Quote
The case dates back to 2010, when Dr. Goodluck Jonathan was Nigeria’s president. The Nigerian government, under Dr. Jonathan, had struck a deal with the Irish firm to supply gas to a processing plant built and run by P&ID in Calabar.

The agreement was for a 20-year deal.

But the Nigerian government failed to keep to her own side of the agreement, prompting the firm to take the case to court.

Meanwhile, in 2013, P&ID won a $6.6bn arbitration case against Nigeria.  The figure was calculated based on what the company was estimated to have earned over the course of the 20-year agreement.

But in today’s ruling, the firm said the amount had risen to $9bn following interest accrued so far, reports City A.M.

Today’s decision means that the arbitration is converted into a legal judgement, allowing P&ID to attempt a seizure of the assets.

From this information, it seems that Nigeria, again, chose to approach this matter like the Bakassi case - adopting the usual care-free attitude, the type of attitude because of which there is no 24/7 electricity in Nigeria today.

The problem for countries like Nigeria, is that the world has changed and continue to change more to situation whereby companies and even individuals can sue a country and garnish its foreign reserves.

Obviously the people who handled this case on behalf of Nigeria applied the usual "Nigerian mindset" to the whole thing.
Now, the case has even passed arbitration stage, and is now in enforcement stage. Too late for arbitration.

Now, it may boil down to diplomatic horse-trading between Nigeria and United Kingdom or even Ireland.

Nigerians should now begin to understand why they must make sure that ONLY competent people are leading them.
Incompetence will now take food from their tables!

0 Members and 1 Guest are viewing this topic. Reply

web site traffic statistics