close
Friday, December 22, 2023

UK court rejects P&ID’s plea to appeal $11 billion judgment

The latest development has effectively ended the case as the company cannot apply for permission from the Court of Appeal.

• December 22, 2023
Process and Industrial Development (P&ID) (Credit: Businessamlive)
Process and Industrial Development (P&ID) (Credit: Businessamlive)

A Business and Property Court in London presided over by Justice Robin Knowles of the Commercial Courts of England and Wales has refused to grant an application by Process & Industrial Development (P&ID) seeking to appeal the judgement stopping the enforcement of its $11 billion award against Nigeria.

Mr Knowles, in a judgment on Thursday, ruled that the award against Nigeria should be thrown out immediately.

On October 23, the judge halted the enforcement of the award by upholding Nigeria’s prayer that it was obtained by fraud and in violation of Section 68 of the English Arbitration Act 1996.

Mr Knowles held that the contract award was obtained by fraud and that what had happened in the case was contrary to public policy. The judge found that P&ID had paid bribes to Nigerian officials involved in drafting the gas supply and processing agreement (GSPA) in 2010.

He also found that P&ID illegally possessed Nigeria’s privileged legal documents during the arbitration hearings.

However, Mr Knowles said he still had to choose from three options after making his determination.

The options included “(a) to remit the award to the tribunal, in whole or in part, for reconsideration, (b) to set the award aside in whole or in part, or (c) to declare the award to be of no effect, in whole or in part.”

Nigeria had argued that the award should be set aside, invoking the common law principle that “fraud unravels all.”

But in his pronouncement on December 8, Knowles said he had decided against sending the award back to the arbitration tribunal.

He crushed the award in its entirety.

However, P&ID sought permission to appeal the October judgment.

Its lawyers argued that the judge failed to apply a “causation” requirement, which would have shown if the arbitration award would still have been made if P&ID had not paid bribes to government officials.

They also argued that the privileged documents found in P&ID’s possession played no role in its victory at the arbitration.

However, in delivering the judgment on Thursday, Mr Knowles refused P&ID’s permission to appeal.

The latest development has effectively ended the case as the company cannot apply for permission from the Court of Appeal.

(NAN)

We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.

More from Peoples Gazette

Katsina State

Politics

Katsina youths pledge to deliver over 2 million votes to Atiku

“Katsina State is Atiku’s political base because it is his second home.”

WIKE WITH FCT OFFICIALS

Abuja

FCTA floats platform to tap from retired directors’ experience

The Federal Capital Territory Administration has floated a platform for interactions with retired directors to tap into their knowledge.

Lagos

Christmas: Governor Sanwo-Olu encourages Nigerians not to lose hope

Governor Babajide Sanwo-Olu has urged residents not to lose hope due to the challenges plaguing Lagos and the entire country.

SOUTH AFRICAN TOURIST ATTRACTION

Africa

7.6 million international tourists visited South Africa January-November 2023: Tourism Minister

South Africa says it recorded 7.6 million international tourist arrivals between January and November this year.

CBN GOVERNOR; NAIRA NOTES

NationWide

Naira Scarcity: CBN threatens banks, PoS operators hoarding cash

The Central Bank of Nigeria has warned banks and point of sale (PoS) operators to refrain from disrupting the distribution of naira notes.

Lateef Fagbemi and Ola Olukoyede

Anti-Corruption

Anti-corruption War: AGF Fagbemi inaugurates new EFCC office in Ilorin

Mr Fagbemi said it was the present administration’s plan, under the leadership of President Bola Tinubu, to free Nigeria from the grips of corruption.

Ebonyi state governor, Francis Nwifuru [Photo: Twitter]

States

Governor Nwifuru approves N100,000 Christmas bonus for Ebonyi civil servants

Governor Francis Nwifuru has approved N100,000 as additional pay to each civil servant in Ebonyi as a Christmas bonus.