President Bola Tinubu on Monday, applauded the judgment by Robin Knowles of the Business and Property Court in London, awarding a landmark victory to the Federal Government of Nigeria against Process & Industrial Development (P&ID) Limited.
In 2010, the Process & Industrial Developments (P&ID) had claimed that it secured a 20-year contract to build and operate a gas processing facility in the southern region of Nigeria.
The firm also said it entered into the agreement with Nigeria to build a gas processing plant in Calabar, Cross River state, adding that the deal collapsed because the Nigerian government did not fulfil its end of the bargain.
The firm also accused the Nigerian government of contract breaches and resorted to legal action and ultimately won an arbitration award against the country.
On January 31, 2017, however, the tribunal issued a ruling, asking the Nigerian government to compensate P&ID with $6.6 billion in damages, in addition to both pre- and post-judgment interest at a rate of 7%.
Ross Cranston, a judge within the Business and Property Courts of England and Wales, granted the application in September 2020.
The Nigerian government however appealed the ruling, on the ground that the P&ID executives had resorted to bribery in order to obtain the contract.
Following Judge Knowles’ dismissal of the $11.5 billion (USD) value of the award plus accumulated interest, previously won by P&ID over a failed 2010 deal to allegedly build a gas processing plant, on the grounds that the award was obtained by fraud, President Tinubu commends the UK Court for prioritizing the merits of the case above all other considerations.
Ajuri Ngelale, the special adviser to the President on Media and Publicity, in a statement, said the President described the judgement, as a ” victory for our long exploited continent.”
“This landmark judgment proves conclusively that nation states will no longer be held hostage by economic conspiracies between private firms and solitarily corrupt officials who conspire to extort and indebt the very nations they swear to defend and protect.
“Today’s victory is not for Nigeria alone. It is a victory for our long exploited continent and for the developing world at large, which has for too long been on the receiving end of unjust economic malpractice and overt exploitation.
“Nigeria is appreciative of the tremendous efforts of the defense team and acknowledges the role of the Federal Ministry of Justice and the Office of the Attorney-General in the process of defending Nigeria’s interest in this case,” the President stated.