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Multi-Billion Dollar Contract : Private Company, Donnington Drags Nigerian Government To International Arbitration

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A private company, Donnington Nigeria Ltd, along with its foreign partners, has notified the President Bola Tinubu-led Nigerian government of its intention to initiate international arbitration over the ACD/CTN (Cargo and Crude Oil Tracking and Notification) scheme.

 

Sahara Reporters learnt that the matter could further damage Nigeria’s international reputation, especially as the country seeks foreign investments while struggling with allegations of contract breaches, lack of transparency, and disregard for due process.

 

 

 

This comes on the heels of a recent international embarrassment, where Nigeria’s properties abroad, including presidential jets and real estate in Liverpool, United Kingdom, were seized by a Chinese firm enforcing a court judgment.

 

SaharaReporters gathered that Gary Summers, a London-based solicitor representing Donnington Nigeria Ltd, Donnington International AG, Vortexra UK, and DP World UAE, has written to the Attorney-General of Nigeria, Chief Lateef Fagbemi (SAN), criticizing the government’s appointment of a new consultant for the ACD/CTN scheme.

 

He claims that the move disregards ongoing legal proceedings and raises serious concerns about transparency and due process.

 

 

 

Donnington had been involved in a legal dispute with the Federal Government over the same scheme, alleging that self-serving officials from the previous administration diverted the contract to themselves, despite an executive order endorsing Donnington after a thorough procurement process.

 

This decision, Donnington argues, has cost Nigeria billions of naira annually, as the scheme has remained unimplemented due to legal battles.

Donnington is seeking to overturn the re-award of the ACD/CTN scheme to P-LYNE Nigeria Ltd, a company linked to Sahara Energy Group, raising concerns about conflicts of interest.

 

 

 

The firm argues that awarding the contract to an entity involved in crude oil trading compromises the integrity of the tracking scheme and risks overlooking discrepancies in crude oil transactions.

 

Donnington contends that its original contract, approved under a no-cost, revenue-sharing agreement, was more beneficial to Nigeria, in contrast to the $21 million mobilization fee now awarded to P-LYNE.

 

In addition to legal action, Donnington has enlisted a team of international investigators, led by former London Metropolitan Police Assistant Commissioner Tarique Ghaffur, to scrutinise the government’s handling of the contract.

 

 

 

The company has also hired a forensic accountant to assess the financial losses incurred after its contract was terminated.

Donnington has warned that unless swift action is taken to restore its role in the scheme, Nigeria faces not only substantial financial losses but also reputational damage in international markets.

 

The company’s arbitration proceedings are being prepared under the ICSID Convention, citing violations of bilateral investment treaties.

 

Without intervention from the Attorney-General of Nigeria and Minister of Justice, Lateef Fagbemi, the dispute could further hinder Nigeria’s efforts to attract much-needed foreign investments.

 

Source: Sahara Reporters

 

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Former Governor Ifeanyi Okowa, Spends Second Night In EFCC’s Cell Over N1.3 Trillion Alleged Fraud

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Immediate past governor of Delta State, Ifeanyi Okowa, who was arrested and detained by the Economic and Financial Crimes Commission (EFCC) has spent second night in the custody of the anti-graft commission.

 

Okowa is currently being investigated and detained over the alleged diversion of N1.3 trillion.

 

The N1.3 trillion reportedly represents the 13% derivation fund from the federation account between 2015 and 2023.

 

According to sources within the commission, Okowa was invited to the EFCC office in Port Harcourt, Rivers State, where he’s subsequently detained by officials.

 

One of the sources stated, “Okowa was at our Port Harcourt office following an invitation from investigators probing the allegations against him. He was then arrested. The commission is investigating him regarding the N1.3 trillion 13% derivation fund from the federation account between 2015 and 2023.

 

“He is also accused of failing to account for the funds, as well as another N40 billion he allegedly claimed was used to acquire shares in UTM Floating Liquefied Natural Gas. He reportedly bought shares worth N40 billion in one of the country’s major banks, representing an 8% equity stake, to support the offshore LNG project. The funds are alleged to have been misappropriated for other purposes.

Investigators are also examining the alleged diversion of funds by the former governor to acquire estates in Abuja and Asaba, Delta State. He is currently being held at the EFCC facility in Port Harcourt.

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Lagos Government Shuts Down Redeemed Church, Celestial Church, Clubs, Event Centres Over Noise Pollution

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The Lagos State government has shut down a branch of Pastor E. A. Adeboye’s Redeemed Christian Church of God, a Celestial church, nightclubs and event centres over noise pollution.

The Commissioner for Environment and Water Resources, Tokunbo Wahab, who made this known on Wednesday, said the churches, clubs and event centres were sealed on Tuesday by the Lagos State Environmental Protection Agency (LASEPA) in the Ogudu, Gbagada, Iyana Ejigbo, Isolo, Ajao Estate, Oshodi, Ilasamaja, and Okota areas of the state.

The sealed establishments include: Redeemed Christian Church of God, Celestial Church of God, OMA Nightclub and Lounge, Lounge & Lodging, Bridge Spot Bar, Okiki Event Center and Hall, Emota Paradise Hotel (Phase 2), CF Hotel & Suites, House 27 Hotel & Suites, Echo Spring Hotel, and Smile T Continental Hotel.

The commissioner in a post on X said, “In a bid to address noise pollution and other environmental violations, the Lagos State Environmental Protection Agency (LASEPA) took action yesterday, closing down several establishments across different parts of the state.

“This enforcement drive, focusing on areas like Ogudu, Gbagada, Iyana Ejigbo, Isolo, Ajao Estate, Oshodi, Ilasamaja, and Okota, is part of LASEPA’s continuous efforts to uphold environmental standards and safeguard public health.

“The affected establishments include Honourable Lounge & Lodging, Redeemed Christian Church of God, Celestial Church of God, OMA Nightclub and Lounge, Bridge Spot Bar, Okiki Event Center and Hall, Emota Paradise Hotel (Phase 2), CF Hotel & Suites, House 27 Hotel & Suites, Echo Spring Hotel, and Smile T Continental Hotel.”

 

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Gen. Taoreed Lagbaja: Tinubu directs flags be flown at half-mast

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President Bola Tinubu has directed that Nigeria’s national flags be flown at half mast for seven days across the country to mourn the passing of the late Chief of Army Staff, Lt. Gen. Taoreed Lagbaja.

The late Army chief, who was appointed by Tinubu on 19 June 2023, was said to have passed away on Tuesday night after a prolonged illness.

The Secretary to the Government of the Federation, George Akume, in a statement on Wednesday by his office Director of Information & Public Relations, Segun Imohiosen, said the president expressed regret over Lagbaja’s death.

Akume said, “President Bola Tinubu has expressed regret following the death of the Chief of Army Staff, Lieutenant General Taoreed Abiodun Lagbaja, after a brief illness at the age of 56.

“The President has directed that national flags be flown at half mast throughout the country for seven days in honour of the departed Army chief.

“He profoundly appreciates the services of the departed to the nation and wishes the family the fortitude to bear the great loss.”

Meanwhile, the Ministers of Defence, Mohammed Badaru and Bello Matawalle, have commiserated with the president, the military, and Lagbaja’s family over his death.

In a statement by the Ministry’s spokesperson, Henshaw Ogubike, the ministers described Lagbaja’s death as a great loss to his family, the Army, and the nation at large.

“The passing on to eternal glory shocked us at the Ministry of Defence, as our working relationship with him was commendable; he exhibited the spirit of camaraderie and cooperation with us in the discharge of our mandate.

“The late Chief of Army Staff contributed significantly to internal security operations across Nigeria and also exhibited a high level of professionalism.

“He will be greatly missed by the family, the military, and the nation, as he served the nation with commitment and dedication,” the statement added.

 

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