Bwala: Nigeria’ll Appeal $25m Judgment In Favour of Chinese Firm

Deji Elumoye in Abuja

The federal government on Wednesday vowed to appeal a recent judgment by the British Virgin Islands High Court, which granted a Chinese firm, Zhongshan Fucheng Industrial Investment Co. Ltd, the right to seize $25 million from Nigeria’s foreign assets.
The company had sought relief over a failed trade zone agreement signed with Ogun State under former Governor Ibikunle Amosun’s administration.
Commenting on the issue on Wednesday, Special Adviser to the President on Policy Communications, Daniel Bwala said: “This is not a judgment that will be enforced immediately.”
According to him: ‘The ruling serves as a warning, and until Nigeria has the opportunity to enter its defense, the judgment cannot be enforced. We still have the chance to appeal and vacate the ruling”.
He emphasized that “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”.
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  compensation. Nigeria argued for state immunity, but this defence was rejected by the UK courts.