The Nigerian Federal Government has accused a Chinese company, Zhongshan Fucheng Industrial Investment Co. Limited, of employing deceptive tactics following a French court’s ruling that allowed the seizure of Nigerian presidential jets. The jets, undergoing routine maintenance in France, were seized as security for claims related to a longstanding legal dispute between the Chinese firm and the Ogun State government.
In a statement released on Thursday, Presidential Spokesman Bayo Onanuga criticized Zhongshan, accusing the company of attempting to “take over offshore assets of the Federal Government of Nigeria through subterfuge.”
The conflict traces back to 2007, when Zhongshan signed a contract with the Ogun State government to manage a free-trade zone. The contract was later revoked in 2015 by the state government, leading Zhongshan to initiate arbitration against Nigeria under the bilateral investment treaty (BIT) between China and Nigeria. The arbitrators found Nigeria breached its obligations under the treaty and awarded Zhongshan millions of dollars in compensation.
Despite appeals by the Nigerian government in multiple jurisdictions, including the United Kingdom and the United States, the latest jurisdictional battle took place in France. The Paris court ruled that the seizure of the jets was necessary to preserve Zhongshan’s claims arising from the 2021 arbitration award.
Onanuga, however, contended that the Nigerian government was not contractually obligated to Zhongshan and described the firm’s actions as an attempt to exploit the situation. “The case in which Zhongshan is trying to use every unorthodox means to strip our offshore assets is between the company and the Ogun State Government,” he stated, adding that Zhongshan’s demands lacked a solid foundation.
Onanuga also criticized the company for allegedly misleading the Paris court by withholding crucial information. He emphasized that the jets, as assets of a sovereign entity, are protected by diplomatic immunity, making the court’s order inappropriate. “The Nigerian government will always work to protect our national assets from predators and shylocks who masquerade as investors,” he asserted.
The court’s order comes amid discussions in Nigeria regarding the state of the Presidential Air Fleet, which has been shrinking due to maintenance issues. Recently, President Bola Tinubu has had to use hired jets for official trips, while a faulty presidential jet prevented Vice President Kashim Shettima from attending the 2024 US-Africa Business Summit.
In December, the Nigerian Air Force put a presidential aircraft, Falcon 900B, up for sale, raising concerns about the fleet’s health and operational readiness.
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