July 14, 2020:
Update – Federal Republic of Nigeria in court to fight $10 billion case
This week’s procedural hearing was held to decide if the Federal Republic of Nigeria (FRN) should be permitted an extension of time, to bring its fresh challenge to overturn the $10 billion arbitral award in favour of shell company P&ID.
The FRN is bringing its challenge on the basis that the gas supply and processing agreement (GSPA), which is the subject of the dispute with P&ID, was a sham commercial deal designed to fail from the start, and that its subsequent arbitral award was based on fraud and corruption.
The FRN relies on a number of ongoing investigations across multiple jurisdictions, including the US, to build its case. During the hearing, new evidence was presented to further support Nigeria’s challenge.
The Court will decide whether to permit the FRN to bring this challenge outside the normal time limits.
A spokesperson for the Attorney General of the Federation said:
“The Federal Republic of Nigeria appeared in the English High Court this week for a scheduled procedural hearing. The hearing was held for the Court to determine whether the FRN should be permitted an extension of time, to bring its application to set aside the multibillion dollar arbitral award on the basis that it was procured by fraud and corruption.
The hearing concluded this afternoon, and the Judge will hand down his decision at a later date.
In light of the new and substantive evidence presented regarding the vulture-fund-backed P&ID’s fraudulent and corrupt activities, it is clear that the GSPA and subsequent arbitration was a highly orchestrated scam. This is, unfortunately, yet another example of Western businesses taking advantage of Africa’s vulnerabilities.
Enforcement of the award would involve the English Court being used as an unwitting vehicle for this massive fraud against the Nigerian people.
Investigations into the GSPA are ongoing, and we are firmly committed to overturning the injustice of the award – no matter how long it takes.”