Following a court order, a Chinese Company, Zhongshan Fucheng Industrial Investment, is on the verge of taking over two Nigerian government residential properties in the United Kingdom.
The two properties are in prime areas of Liverpool and are estimated to be worth a combined £1.7 million.
Leadership reports that the Chinese firm dragged the Nigerian government to court over a joint venture to establish a free trade zone in Ogun state close to Lagos in 2013.
A Zhongshan subsidiary held a 60% stake in the project, but Ogun terminated its participation three years later.
The company was not happy and dragged the Nigerian government to court.
In 2021, a London-seated United Nations Commission On International Trade Law (UNCITRAL) tribunal chaired by Lord Neuberger, including Matthew Gearing KC and Rotimi Oguneso SAN, ruled that Nigeria was guilty of expropriation and other breaches of the China-Nigeria bilateral investment treaty and ordered the country to pay US$55.6 million plus interest and costs.
The Nigerian government is reported not to have obeyed the court order,
Zhongshan then dragged the Nigerian government again to court.
On June 14, 2024, Master Sullivan of the Commercial Court in London granted orders for two Nigerian government properties in Liverpool to be handed over to the company.
Reacting, Timi Balogun of Squire Patton Boggs, counsel to Nigeria, expressed disagreement with the decision, citing concerns over state immunity and the management of foreign state assets.
However, the judge dismissed the argument, noting that the order was premised on the fact that the properties had been converted to commercial use outside Nigeria’s diplomatic or consular activities in the UK. The judge also held that enforcement of the order should prevail.
It is understood that Nigeria’s counsels in the case plan to appeal the judgement.
Zhongshan also plans to pursue enforcement of the case in the US, Quebec (Canada), Belgium, and the British Virgin Islands.
TimesNow.com.ng reported that data by the Debt Management Office (DMO) revealed that Nigeria’s public debt hit about N97.34 trillion as of Q4 2023.
DMO stated this in a statement on Friday, March 22, 2024. The DMO said Nigeria’s public debt, as of December 31, 2023, stood at 97.34 trillion or $108.22 billion.
Proofreading by James Ojo Adakole, journalist and copy editor at TimesNow.com.ng.
Source: TimesNow.com.ng
