• Monday, December 04, 2023
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Reps to probe $11bn P&ID contract scam

Reps to probe $11bn P&ID contract scam

The House of Representatives on Wednesday resolved to investigate all persons and parties involved in the illegal contract that led to the P&ID $11 billion contract scam, which the United Kingdom Court’s ruling on Monday bailed out Nigeria.

The resolution was sequel to the adoption of a motion titled: ‘Reversal of the $11 billion arbitration award in favour of Nigeria: Call for the investigation of all legal and other services providers involved in the P&ID deal which was sponsored by Kama Nkemkanma.

In his lead debate, Nkemkanma said: “The House is aware that in the judgment delivered by Justice Robert Knowles, it was held that the process through which P&ID secured a 2010 contract to build a gas processing plant in Calabar, Cross River State, was fraudulent.

“While delivering the judgment, Justice Robert Knowles held that – ‘In the circumstances and for the reasons I have sought to describe and explain. Nigeria succeeds in its challenge under section 68, I have not accepted all of Nigeria’s allegations, but the awards were obtained by fraud and the awards were and the way in which they were procured was contrary to public policy.

“What happened in this case is very serious indeed, and it is important that section 68 has been available to maintain the rule of law.

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“The House notes that Nigeria has been involved in a fight with P&ID since the company accused the Nigerian government of botching a deal by failing to provide gas to them leading to the ugly situation where the country suffered a $6.6 billion judgment debt in 2017 when the arbitration tribunal ordered the country to pay P&ID with interest to start counting from March 2013.

“The House is again aware that the Economic and Financial Crimes Commission, in 2018, began investigating P&ID and found evidence of two bank transfers totalling $20,000 made by Dublin-based Industrial Consultants (International) Ltd. — part of the P&ID group of companies—to Grace Taiga, a Nigerian government lawyer who oversaw the award of the gas plant contract, thus exposing the level of shoddiness and corruption around the entire process.”

“By the outcome of the court ruling, the House congratulated President Bola Ahmed Tinubu and the good people of the Federal Republic of Nigeria on well-deserved victory over P&ID at the Business and Property Court in London presided over by Justice Robert Knowles on Monday.

After the debate, in line with the extant provisions of Section 88 and 89 of the 1999 Constitution (as amended), the House, therefore, mandated the joint committees on justice and financial crimes to investigate the conduct of all legal and other services providers involved in the P&ID deal and to report back within four weeks.