UK court orders stay of execution of $9.6bn award to P&ID

President Buhari

The United Kingdom Commercial and Arbitration Court on Thursday ordered a stay of execution of the $9.6 billion damages awarded against Nigeria by Process and Industrial Developments (P&ID) pending the determination of an appeal by the Federal Government.

The court asked the government to make a security payment of $200 million to the court, while also granting Nigeria’s leave to file an appeal against the award.

The company had secured the damages against Nigeria following a failed Gas Supply Project Agreement (GSPA) contract between it and the Federal Ministry of Petroleum Resources.

Attorney-General of the Federation and Minister of Justice, Abubakar Malami, who spoke from London said: “Stay of execution granted subject to payment of $200m security payment to court pending the determination of the appeal the leave for which has been granted by the commercial court.

“Application for leave to appeal against the award and enforcement of the award is granted.”

Malami; the Inspector-General of Police, Mohammed Adamu, and the Governor of Central Bank of Nigeria, Godwin Emefiele, had last Saturday led a delegation to the United Kingdom for the epic legal battle with P&ID.

READ ALSO: UK Court grants Nigeria’s leave to appeal $9.6bn judgment

Other government officials that were part of the trip included the Minister of Information and Culture, Lai Mohammed, and the acting Chairman of the Economic and Financial Crimes Commission, Ibrahim Magu.

The court had in August affirmed the ruling of a London arbitration tribunal, which, in January 2017, awarded $6.6bn arbitral award against Nigeria over an alleged breach of a gas supply and processing agreement signed with P&ID.

The tribunal had ruled that Nigeria was liable for $6.6bn in damages, which increased to about $9.6bn with accruing interest.

Minister of Finance, Budget and National Planning, Zainab Ahmed, on August 26, described the judgment as an assault on all Nigerians

She had said it was important for all Nigerians to rise up to the task of ensuring that the nation and its citizens were not unfairly treated on the matter.

The minister had said, “This matter that has brought us here today is a very weighty one. An award of $9.6bn is equivalent to N3.5trn. N3.5trn in our annual budget will be covering for us the personnel cost, which is about N3.2trn and more. So, this award is unreasonable, excessive and exorbitant.”

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  • Where are all the idiots comments always supporting the government President Jonathan? The P&ID contract was singed under his government. What is normal and justified is Jonathan and all the people involved in signing the contract should be tied to a stake and shot.Ex President and his cronies dug a hole and put Nigeria in it. Me and like minds keep telling Nigerians lacking knowledge or information that Nigeria,Nigerians are lucky that,that party PDP did not win the last federal election because Atiku and Jonathan are birds of a feather.l speak make comments from my heart despite all the curses,insults i get from fellow Nigerians thinking i make comments because i love President Buhari,hell! no;firstly(1st) i live outside Nigeria and secondly(2)Nigeria's got a reputation and thirdly(3) Nigerians are involved in Internet scams,drugs,Why? because of bad leadership.corruption in high places. President Buhari me think is not a saint but it's gonna take a time to take Nigeria out of the hole past Governments starting from Babagida,Abacha,Obasanjo and Jonathan dug Nigeria in. Buhari is going to put in place structures which Nigeria lacks, like EFCC,etc,etc ....... Nigeria is in a hole. The question is how do you get out of a hole? the Answer is you stop digging and that's exactly what Buhari is doing. Buhari has stopped digging.

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  • FAILURE ANALYSIS: 5 WHY'S

    1. Why Nigeria claims fraud in case calling for $9.6B asset seizure?
    Because contract signed under a past administration had been designed to fail.
    2. Why contract signed under a past administration had been designed to fail?
    Because Goodluck Jonathan who was the acting president. Johnathan has asserted he has no knowledge of the contract.
    3. Why Goodluck Jonathan who was the acting president. Johnathan has asserted he has no knowledge of the contract?
    Because ???????

    I will stop so far .

    P&ID asserted that the contract was “genuine, and was in support of established public policy of the Nigerian government. So why will previous government will not be aware of a contract that went through a policy ?

    FG agencies please take note when you represent a Nation . Do not let your personal ambition blind the eye corporate decisions as a government agent.

    If this case end in favor of P&ID all the past government officials who some are also part of this present government officials must face the law...

    My common advice to government agencies and general public "do it right not minding who is involve" to avoid similar future occurrences.

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  • Scam British people and judicial system. They want to use "style' collect $200 million first and go for the rest later. It's all a scheme. The fraudulent British system is waiting on the tax to collect from P&ID after it grant their wish. They are no different from their Nigerian protege.

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