Abuja, Nigeria — The Presidency and Ogun State Government have initiated efforts to vacate court orders issued by the Judicial Court of Paris, which led to the seizure of three Nigerian presidential jets.
The court orders, dated March 7, 2024, and August 12, 2024, were obtained by the Chinese firm Zhongshan Fucheng Industrial Investment Company over a contractual dispute involving a free trade zone in Ogun State.
The case draws parallels to the high-profile $11 billion P&ID case in London, where Nigeria successfully vacated a judgment debt. In this instance, both the federal and Ogun State governments are taking legal measures to challenge the court orders and recover the seized presidential jets.
Background of the Dispute
The conflict stems from a 2007 contract between Ogun State and Zhongshan Fucheng to manage a free trade zone. A dispute arose in 2015, leading to arbitration, which concluded in 2019. The Arbitral Panel awarded Zhongshan over $60 million against the Federal Government of Nigeria, despite the company’s limited contributions, which primarily involved constructing a perimeter fence.
Ogun State has been contesting the enforcement of the award across various jurisdictions, including the US and UK. While previous efforts to resist enforcement were successful, Zhongshan escalated the matter by securing ex-parte orders from the Paris court, leading to the provisional attachment of the presidential jets.
Efforts to Resolve the Dispute
Negotiations between Ogun State and Zhongshan for an amicable settlement have been ongoing. A recent three-day meeting in London, attended by Ogun State Governor Dapo Abiodun and Attorney-General Prince Lateef Fagbemi, initially showed promise. However, talks broke down when Zhongshan insisted on full payment of the arbitration debt.
In response to the latest court orders, both the federal and state governments have taken steps to challenge what they describe as a “frivolous” and “illegal” seizure. The presidency claims that neither the Federal Government nor Ogun State was properly served with notice of the Paris court proceedings.
Presidency and Ogun State’s Response
Special Adviser to the President on Information and Strategy, Bayo Onanuga, condemned the court orders, asserting that the Federal Government is not under any contractual obligation with Zhongshan. He described the seizure as an attempt to strip Nigeria of its assets and likened it to the P&ID case.
Ogun State Government also criticized the legal process, with Special Adviser to the Governor on Media and Strategy, Kayode Akinmade, calling it a “total charade” and accusing Zhongshan of withholding crucial information from the court. Both the federal and state governments are now working to ensure the swift release of the jets.
Peter Obi reacts to the seizure of the three presidential jets
Peter Obi, the Labour Party’s 2023 presidential candidate, expressed concern over the incident, calling it an “international embarrassment” that exposes Nigeria’s leadership failures. He criticized the government’s decision to proceed with the jet deal amidst economic hardship and called for greater transparency in government dealings.
The ongoing dispute continues to unfold, with both the Nigerian and Ogun State governments seeking to resolve the matter through legal and diplomatic channels.
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