The Nigerian government says it will appeal a recent British Virgin Islands High Court judgment, which granted Zhongshan Fucheng Industrial Investment Co. Ltd, a Chinese company, the right to seize $25 million from Nigeria’s foreign assets.
Special Adviser to the President on Policy Communications, Daniel Bwala assured that the British court ruling is not a judgment that will be enforced immediately.
According to Bwala, “The ruling serves as a warning, and until Nigeria can enter its defense, the judgment cannot be enforced. We still have the chance to appeal and vacate the ruling”.
The Presidential aide stressed that the Presidency is committed to defending Nigeria’s interests while continuing to examine all options and adopt necessary ones to address the challenge.
“The Presidency remains committed to defending Nigeria’s interests. We will continue to examine all options and take the necessary steps to address these legal challenges, ensuring that Nigeria’s rights and assets are preserved”.
Zhongshan Fucheng Industrial Investment Co. Ltd had sought relief over a failed trade zone agreement signed with Ogun State under former Governor Ibikunle Amosun’s administration.
The dispute stems from a 2010 agreement in which Zhongshan secured rights to develop a free trade zone in Ogun State.
However, the project was terminated by the Ogun State government in 2016, leading to Zhongshan initiating an investment treaty arbitration under the bilateral investment treaty between China and Nigeria.
The arbitration tribunal ruled in favor of Zhongshan, awarding the company approximately $70 million in compensation. Nigeria argued for state immunity, but this defense has been rejected by the UK courts.
Dominica Nwabufo
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