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Nigeria: Following UK ruling, former President Buhari reflects on P&ID contract scam

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Former Nigerian President, Muhammadu Buhari has given his government the praise in the country’s legal triumph over UK firm, Process & Industrial Development (P&ID), which would have set back the nation by a whopping $11 billion in accumulated cost.

The long-drawn case began in 2017 following a 2010 agreement between P$ID and the Federal Government, with the firm pledging to build a gas processing plant in Cross River State.

The project never saw the light of day which led to P&ID suing the Nigerian government for lost profits. A UK court also granted the company an accumulated daily percentage which grew over the years to $11 billion, which further became a point of contention with Nigeria challenging the award.

However, the case came to a close on Monday, October 23 when Justice Robert Knowles of the Business and Property Court in London held that the process through which P&ID secured the contract was fraudulent and dismissed the case against Nigeria.

While reacting to the favourable ruling on Sunday, Buhari said if the case had gone against Nigeria, such monetary loss could have set the country back in many ways, and advised that the amount should be substituted to finance key infrastructural projects.

In an extensive article, Buhari took a dive into the P&ID scam and stressed the importance of following legal processes in dispute resolution.

“Had Nigeria lost, it would have required schools not to be built, nurses not to be trained and roads not to be repaired, on an epic scale, to pay a handful of contractors, lawyers and their allies – for a project that never broke ground,” the former president opined.

“How did it get to this point? How did Nigeria prevail? Was this a one-off, or par for a shabby and distasteful course? What are the lessons for the future?” he asked.

“The ‘P&ID Affair’ was already firmly set by the time I came into office in 2015. A company registered in the British Virgin Islands that no one had heard of, with hardly any staff or assets, had won a contract to build a gas processing plant in Cross River.

“The company was owned by Irish intermediaries who knew Nigeria well and had done business in everything from healthcare to fixing tanks.

“The previous government could not supply the gas. The plant was never built. Construction was not started. P&ID did not even buy the land for the facility.

“But the contract, incredibly, was clear: P&ID could sue Nigeria, and claim all the profits it might have made over 20 years as if everything had been completed.

“Nigeria was in court in London, trying to talk down liability and costs. Back at home, fixers were looking to work out a quiet settlement. This is often the way. A lot of contracts end up in dispute.

“P&ID won a settlement in 2017 of $6 billion, with compound interest. People, including ex-British Cabinet Minister Priti Patel, were queuing up to insist we pay, or risk Nigeria becoming an untrustworthy trade pariah.

“It was clear that far from the whole story had been told. I tasked Abba Kyari, my Chief-of-staff and Attorney General of the Federation, Abubakar Malami, with finding a way, even at that late stage and despite so much conflicting advice, to get us a fair hearing.

“Working with a number of different agencies and senior officials of government, we began to find a huge amount of evidence, not all of which Justice Knowles was to accept. But he agreed that P&ID had paid bribes.

“He agreed that one of P&ID’s founders had committed perjury. And he agreed that P&ID had somehow found in its possession a steady supply of Nigeria’s privileged internal legal documents, outlining our plans, strategies and problems.

“My own view is that this whole sorry affair shows how important it is to follow the legal process in resolving a dispute. It shows that given time and opportunity for each side to present their case, the temple of justice can satisfactorily resolve all disputes without resorting to extra-judicial measures.

“It was definitely worth the struggle: this was an attempted heist of historic proportions, an attempt to steal from the treasury a third of Nigeria’s foreign reserves”, Buhari wrote.

Metro

Choma resident, Chabota, knocks journalists for abusing freedom of speech

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A Choma resident, Sleddy Chabota, has spoken out against what he perceives as the abuse of freedom of speech by some journalists.

While acknowledging that journalists operate in a challenging environment, Chabota argued that those who face difficulties often do so because they violate the guiding laws.

In his analysis of media operations in Zambia, Chabota observed that some journalists and individuals misused their freedoms and then complain when they face legal consequences.

He stated that, like homes, countries have laws and guidelines that everyone must follow to maintain peace.

Media freedom and freedom of expression exist in Zambia. The only challenge is that some people abuse freedom of speech and every nation has rules. When you follow the rules set by the government, you are on the safe side. But if you abuse freedom of speech, you end up saying the government is at fault,” Chabota told the Zambia Monitor in Choma.

Chabota highlighted that insulting people, including the President and elderly individuals, constituted an abuse of freedom of speech.

He stressed that journalists, tasked with carrying information to the public, must adhere to Zambian laws and promote peace.

When asked about media regulation, Chabota dismissed claims of over-regulation, labeling those who make such claims as selfish.

He argued that only individuals who cross the boundaries of freedom of speech assert that the media was overly regulated.

“The media is not over-regulated. Only selfish individuals say it is. Journalists must follow the laws and gather factual information, not hearsay. For example, some media reported that a footballer had died when it was not true. They did not verify the facts from the ground,” Chabota said.

Chabota’s views underscored the necessity of adhering to established laws and standards, which guide all individuals and professionals in their conduct.

This story is sponsored content from Zambia Monitor’s Project Aliyense.

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Nigerian electricity workers lock out Minister from office, issue 14-day ultimatum over tarrif hike

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Nigeria’s Minister of Power, Adebayo Adelabu, was on Monday locked out of his office along with other workers of the ministry who were denied access into the headquarters of the Federal Ministry of Power, the Power House Building, in the Maitama District of Abuja.

The action which was carried out by angry members of the National Union of Electricity Employees (NUEE) and the Senior Staff Association of Electricity and Allied Companies (SSAEAC) was as a result of the recent increase in electricity tarrif hikes in country and the refusal of the government to reverse the increment despite demands by organized labour.

The action of the electricity workers also coincided with a 14-day ultimatum given to the federal government by the Nigeria Labour Congress (NLC) and Trade Union Congress (TUC), to reverse the hike in electricity tariff by May 31.

The labour unions which took the decision at the end of its joint National Executive Council (NEC) meeting on Monday, said the NEC has once again “vehemently condemns the unilateral increase in electricity tariff by the authorities.”

The labour unions said the “action, which was taken without due consideration for the economic hardships faced by the masses and the provisions of the law, is deemed unjust and burdensome.”

“The NEC reaffirms its demands for an immediate reversal of the tariff hike and the vexatious apartheid categorisation into bands to alleviate the suffering of Nigerian workers and citizens and gives the National Electricity Regulatory Commission and the Federal Government until the last day of May, 2024 to meet these demands,” the unions said in a statement.

Speaking on the decision to deny the minister access to his office, General Secretary of NUEE, Igwebike Dominic, insisted that the shutdown of the Power Ministry would continue until the government listens to the demands of the union or calls for a meeting to address the issues.

“The shutdown of Power House is going to continue until they hold a meeting with the unions or meet the demands written in our letter to the minister,” he stated.

Part of the letter from the unions to the Minister had read:

“We are taken aback by the utmost disregard for the critical stakeholders in the power sector by you and your agency’s unilateral and detrimental decisions in the sector.

“We believe that all agencies, under your ministry, should key into your agenda and set goals by extension to the vision of this administration in seeing to a regular and sustainable power supply in the country.

“So, the disruption being engineered by NERC in the sector is not surprising, as there is no known agenda or vision for the power sector by your administration one year after the resumption of office.

“The unfortunate scenario playing out in the power sector points to the fact that you administer the sector like a personal estate with no consideration for the welfare and survival of the workers and the sector in general.

“The mischievous deduction of eight per cent of the revenue generated as technical losses from TCN is a political calculation to blackmail the company and its management to make it look inefficient is disheartening and would, in the long term, hurt the entire electricity value chain. This is highly unacceptable and cannot be sustained.

“The vexatious order from NERC on a monthly deduction of N2bn from the account of TCN is unrealistic and an attempt to run TCN down, portray the management as incompetent and take advantage of the failures for selfish political gains. We want a justified reason for such a humongous and unrealistic deduction.

“The illegal deduction of 46.7 per cent from TCN revenue (not even profit) for project execution for Discos; are the privatised companies not owned by private entities?

“What system of privatisation are we adopting? Our findings revealed that all these obnoxious orders from NERC are a conspiracy to grind the operations of TCN and then liquidate it. These are to prepare enough ground to unbundle it for selfish political gains by a few people,” they said.

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