P&ID: Nigeria pays $200m bond to UK court

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Minister of Justice and Attorney General of the Federation, Abubakar Malami says the Nigerian government has provided a bond of $200 million to a court in the United Kingdom, as part of efforts to overturn the $9.2 billion judgement debt against it, in favour of Process and Industrial Development (P&ID).

In a statement released on Thursday, Malami described the development as a positive step for Nigeria to set aside the judgement.

He added that the decision to provide the bond emanated from the British court’s acceptance of a request from Nigeria for a variation of the September decision of the court.

The UK Business & Property Courts (the Commercial Court), presided by Justice Butcher, on August 16 granted P&ID’s request to enforce a March 20, 2013 award against Nigeria by a District Circuit Court in Washington DC.

The $6.6 billion Nigeria was ordered to pay had accumulated to $9.6 billion due to interests accrued over the period.

Following an application by the Nigerian government in September, the court granted a stay of execution of the judgement preventing the seizure of Nigerian assets while its legal challenge was pending.

The court, however, ordered it to pay $200 million to the court within 60 days to ensure the stay.

Malami in the statement also revealed that the Nigerian government “does not plan to forfeit the guaranteed sum to the High Court in UK.”

 




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