There are indications that Nigeria has commenced the process for a negotiated settlement as government continues to explore ways out of the $9.6 billion (about N3.5trn) judgment debt awarded last month by a UK court in favour of an Irish company – Process and Industrial Developments Limited (P&ID).
This comes as the Coalition of Civil Society Groups on Monday in Abuja protested against the judgment, describing it as a big fraud while calling on the British and Irish governments to ensure it is quickly set aside.
BusinessDay sources say the P&ID officials attended the meeting at the Presidential Villa on Monday and were seen leaving the Vice President Yemi Osinbajo’s office but refused to speak with the press.
The Vice President also met behind closed doors with revenant government officials including Justice Minister, Abubakar Malami, and others, where Federal Government received reports of the team set up to advise it on the issue, where the P&ID officials were sighted.
Recall that a UK court ruling that authorised an Irish engineering and project management company, P&ID to seize $9.6 billion in Nigerian assets over the failed contract, had sparked off reactions, forcing the government to institute action into the matter.
BusinessDay Presidential Villa sources reveal that the interim report was submitted to Vice President who presided over the meeting.
The team refused to comment on their recommendations as the Federal Government was still studying them, expected to come up with final resolution soon, a source says.
President Muhammadu Buhari had directed a select team including the Economic and Financial Crimes Commission (EFCC) and other relevant anti-graft agencies to study the judgment and advise it on the next line of action.
The Monday meeting, which was also attended by the officials of the EFCC, was in continuation of government effort to find out the best way to get the country out of the quagmire created by the judgment.
The meeting was attended by the ministers of Finance, Budget and National planning, Zainab Ahmed; Justice, Abubakar Malami; Information, Lai Mohammed; State for Petroleum, Timipre Silva, and State for Niger Delta Affairs, Festus Keyamo.
Also at the meeting were group managing director of NNPC, Melee Kyari; acting chairman of the EFCC, Ibrahim Magu, and the governor of the Central Bank of Nigeria, Godwin Emefiele.
BusinessDay also gathers that the Federal Government is worried over rising judgment debts, which is moving close to N4 trillion, including the N3.5 trillion to P&ID, and another N132 billion owed BiCourtney.
The P&ID matter is even worrisome given that relevant government agencies, including the Infrastructure Concessions and Regulations Commission and the Bureau of Public Procurement (BPP) claimed ignorance of the contract award.
Segun Imohiosen of the BPP had in a telephone interview, simply declared that the “organisation was not in the picture of the contract.”
Okwy Ilo, a commercial lawyer, however, raised hope on a possibility of Nigeria wriggling out of the $9.6 billion debt through a proper re-negotiation.
He said, “Both the Federal Government and the P&ID should find a common ground on this issue. If you look at the issue closely, you discover that the other party has not fulfilled its own obligation as should and that is the reason why they should enter a common table and re-discuss.”
Meanwhile, marching out in their hundreds, the Coalition of Civil Society Groups group – an umbrella body of over 5,000 Civil Society Organisations – protested at the British High Commission and later at the Irish Embassy in Abuja, where they expressed their concern that the judgment would hurt the economy.
In a protest letter addressed to the British High Commission, they specifically demanded that the judgment by the commercial UK court be set aside, considering wide ”evidence” that it is ill motivated and undermines the sovereignty of Nigeria.
They also asked that the Nigerian government and the P&ID should go back to the position of the arbitration tribunal in July 2015, where it concluded that Nigeria should pay the sum of $850 million notwithstanding any out-of-arbitration agreement.
The letter, seen by BusinessDay, was jointly signed by their president, Etuk Bassey Williams, and secretary general, Abubakar Ibrahim.
Carrying several placards with inscriptions like “Individuals involved in the signing of the P&ID agreement must be brought to book now; Boris Johnson, help President Buhari to fight corruption, among several others, the CSOs said the judgment was designed to put Nigeria in chains and “we have come to say a big no.”
According to them, “Nigeria is a sovereign nation and will not take this judgment just like the British and Irish governments wouldn’t have.
“We consider the judgment as a travesty to justice, disrespect to the sovereignty of the Nigerian government as the case is not supposed to be heard in a foreign country outside the country where the said irregularity was committed.
“We also consider it as deliberate effort to deter the effort of the Nigerian government towards the fight against corruption.
“We are strongly opposed to this judgment,” the protesters insisted, while recognising the cordial relationship that has existed between the British and Nigerian governments.”
Chanting solidarity songs, they stressed resolve to challenge the judgment. “We will go everywhere possible to stop this, including the International Court of Justice, United Nations, among others.
“We have come to say a big no to this judgment and to stand with our government.”
According to them, the August 16, 2019 judgment delivered in a case instituted by P&ID against the Nigerian government on the gas supply processing agreement with NNPC is in bad light and is capable of destroying a wholehearted relationship built over the years between the Nigerian government and British government.
More so, that a tribunal in London in July 2015, have earlier ruled that Nigeria should pay the sum of $850 million notwithstanding an out-of-arbitration agreement.
“We consider the judgment as an error and a miscarriage of justice considering that, “the company P&ID did not initiate any move to build the gas processing plant to refine the natural gas, which it signed to build.
“The company never conducted an environmental impact assessment, which is a pre-requisite to any industrial activity in Nigeria and also a global practice.
“The company has not been able to show capacity or any core competence in handling gas projects of such magnitude.
“That there are convincing evidence that the contract didn’t follow due process and thus doesn’t warrant any breach of contract.
They said it was disheartening that the questionable commitment and resolve of the tribunal sitting in UK to go ahead with the judgment despite being served the court ruling in Nigeria which gave the Nigerian Federal Government the leave to review the contract due to irregularities found in the way and manner with which the contract was signed.
“While we appreciate and respect the responsibility and duty of courts, we frown at the steps taken by the P&ID and the tribunal in UK towards the dispute involving Nigerian government and P&ID.
Thus we use this medium to this illegal process and lack of due recognition of our sovereignty as a nation and the interest of the Nigerian people. We urge the two parties to review the contract and negotiate the payment awarded against Nigeria.”
Onyinye Nwachukwu, Tony Ailemen & Harrison Edeh Ndubuisi, Abuja
