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Multi-Billion Dollar Contract : Private Company, Donnington Drags Nigerian Government To International Arbitration

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A private company, Donnington Nigeria Ltd, along with its foreign partners, has notified the President Bola Tinubu-led Nigerian government of its intention to initiate international arbitration over the ACD/CTN (Cargo and Crude Oil Tracking and Notification) scheme.

 

Sahara Reporters learnt that the matter could further damage Nigeria’s international reputation, especially as the country seeks foreign investments while struggling with allegations of contract breaches, lack of transparency, and disregard for due process.

 

 

 

This comes on the heels of a recent international embarrassment, where Nigeria’s properties abroad, including presidential jets and real estate in Liverpool, United Kingdom, were seized by a Chinese firm enforcing a court judgment.

 

SaharaReporters gathered that Gary Summers, a London-based solicitor representing Donnington Nigeria Ltd, Donnington International AG, Vortexra UK, and DP World UAE, has written to the Attorney-General of Nigeria, Chief Lateef Fagbemi (SAN), criticizing the government’s appointment of a new consultant for the ACD/CTN scheme.

 

He claims that the move disregards ongoing legal proceedings and raises serious concerns about transparency and due process.

 

 

 

Donnington had been involved in a legal dispute with the Federal Government over the same scheme, alleging that self-serving officials from the previous administration diverted the contract to themselves, despite an executive order endorsing Donnington after a thorough procurement process.

 

This decision, Donnington argues, has cost Nigeria billions of naira annually, as the scheme has remained unimplemented due to legal battles.

Donnington is seeking to overturn the re-award of the ACD/CTN scheme to P-LYNE Nigeria Ltd, a company linked to Sahara Energy Group, raising concerns about conflicts of interest.

 

 

 

The firm argues that awarding the contract to an entity involved in crude oil trading compromises the integrity of the tracking scheme and risks overlooking discrepancies in crude oil transactions.

 

Donnington contends that its original contract, approved under a no-cost, revenue-sharing agreement, was more beneficial to Nigeria, in contrast to the $21 million mobilization fee now awarded to P-LYNE.

 

In addition to legal action, Donnington has enlisted a team of international investigators, led by former London Metropolitan Police Assistant Commissioner Tarique Ghaffur, to scrutinise the government’s handling of the contract.

 

 

 

The company has also hired a forensic accountant to assess the financial losses incurred after its contract was terminated.

Donnington has warned that unless swift action is taken to restore its role in the scheme, Nigeria faces not only substantial financial losses but also reputational damage in international markets.

 

The company’s arbitration proceedings are being prepared under the ICSID Convention, citing violations of bilateral investment treaties.

 

Without intervention from the Attorney-General of Nigeria and Minister of Justice, Lateef Fagbemi, the dispute could further hinder Nigeria’s efforts to attract much-needed foreign investments.

 

Source: Sahara Reporters

 

News and Report

How National Assembly Allegedly Inserted N46billion, N90billion Projects To Pad Oyo, Enugu Federal Colleges Budgets – Report

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BudgIT Foundation, Nigeria’s civic tech organisation, has revealed that the National Assembly in a budget padding spree of the 2024 Fiscal Appropriation Act, inserted over N100billion in the Federal Co-operative College in Ibadan, Oyo State and Oji River in Enugu State.

 

According to BudgIT report, the Federal Co-operative College, Ibadan, Oyo State, Southwest Nigeria, submitted a proposed budget of N1.5billion to the National Assembly.

 

The civic organisation, which raises the standards of transparency, citizen engagement and accountability, especially in public finance, said however that “The National Assembly inserted 182 projects worth N45.36billion and approved N46.9billion,” for the college.

 

 

Similarly, the Federal Co-Operative College, Oji River in Enugu State, South-East Nigeria, submitted a budget proposal of N12.8billion to the National Assembly, but the National Assembly sent back N103.6billion as an approved budget.

 

BudgIT which made the revelation in posts on its X account said, “Nigerians, there’s no easy way to say this, #TheBudgetisaMess.

 

“The Federal Co-operative College Ibadan submitted a proposed budget of N1.5 billion to the National Assembly. The National Assembly, @nassnigeria inserted 182 projects worth N45.36 billion and approved N46.9 billion.

 

“Is the National Assembly mining gold at the Federal Co-Operative College Oji River?

 

“How else do you explain 419 insertions and a N90 billion budget hike?

 

“FCC (Federal Co-Operative College) Oji River sent N12.8 billion to the National Assembly. The National Assembly sent back N103.6 billion as an approved budget!”

 

 

The organisation revealed that some of the inserted projects, most of which are projects outside the constitutional mandates of the colleges, include N500 million allocated to the college in Ibadan for “Construction of lightening facility within selected rural cooperators communities.”

 

Others are, N500 million budgeted for “Renewable energy intervention in selected cooperators communities,” N500 million budgeted for “Construction of solar powered street lights across selected communities for sustainability,” N500 million budgeted for “Energy poverty intervention in selected rural cooperators settlements.”

 

 

Another N500 million allocated for “Construction of sports complex, motorised borehole and flood lights for farming communities in Ipoti Ekiti,” in Ekiti State; N500 million allocated for “Construction and installation of solar street lights in selected locations in South West states.”

 

Others are, N498 million budgeted under the same Federal Co-Operative College, Ibadan, for “Construction of rural farming Nazareth road, Imeko,” N498 million allocated for “Construction of rural farming Lafenwa Alagbe road, Ilara,” N498 million allocated for “Construction of rural farming community Ona Odo Ilara road.”

 

 

Also budgeted under the college are, N498 million budgeted for “Construction of rural farming community Ayekoja road, Idofa,” N498 million budgeted for “Construction of rural farming community Sabo road, Owode,” and N498 million budgeted for “Construction of rural farming Obaladi Afon road.”

 

For Federal Co-Operative College, Oji River, Enugu state, the National Assembly allocated N500 million to the college for “Provision of motorcycles and tricycles to some youths in Ogun, Lagos, Ondo, Osun, Ekiti and Oyo states.”

 

 

 

Other allocations include, N500 million allocated to the college for “Construction of mini sports centre at Alor, Idemili South Local Government Area, Anambra State,” N600 million budgeted for “Construction of Fistula facility at National Obstetric Fistula Centre, Abakaliki,” Ebonyi State.

 

Also, N600 million was allocated for “Provision of empowerment of selected skilled youths and market women in Ogun, Oyo, Osun, Ekiti and Ondo states,” N500 million budgeted for “Construction of renewable mini solar grid and renewable all-in-one solar street lights and boreholes in Akinmorin, Afijio Local Government Area, and Ijomu Oro in Oyo Central and Kwara South Senatorial districts.”

 

 

Another N1.5 billion allocated for “Deployments of all-in-one solar street lights in selected communities in South East senatorial district of Rivers State,” “Provision of 90w all-in-one solar street lights in Eleme Local Government Area of district of Rivers State,” and “Provision of 100w solar street lights in various market squares and Kira-Bara-Alue communities in Tai Local Government Area in South East Senatorial District in Rivers State.”

 

Other inserted projects are, N1 billion allocated to the college for “Installation of all-in-one street lights in Andoni Local Government Area in Rivers State,” and “Furnishing of community town hall with ICT and others in selected areas of Rivers State.”

 

 

Another N1 billion was budgeted under the college in Enugu for “Provision of 100watt street lights in various secondary schools in selected schools in Rivers State,” and “Installation of 100watt all-in-one street lights in hospitals and health centres across South East senatorial district of Rivers State.”

 

Decrying the mindblowing budget padding, BudgIT Foundation said, “If we continue like this, where will it take our country?

 

“The 2025 Budget will soon be presented,

and insertions like this should not happen again.”

 

 

Sahara Reporters  & BudgIT ( on X)

 

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News and Report

“We Will Destroy Their Investments Before Wednesday’’ – Newly Elected LG Chairman Warns Wike (VIDEO)

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The newly elected chairmen of Obior Akpor Local government in Rivers state, Amb. Chijioke Ihunwo has revealed that there will be retaliatory attacks following the activities of unknown hoodlums that set three local governments on fire today.

 

There has been crisis in Rivers state due to the power tussle between the former governor, Nysom Wike and his successor, Sim Fubara.

 

 

The power tussle led to the local government election that held in the state on Saturday with APP, a party backed by Sim Fubara, winning 22 out of 23 local governments. The elected council bosses were sworn-in on Sunday to avoid court cases stopping their swearing in.

 

 

However, hoodlums alleged to be working for the minister of FCT, Nysom Wike stormed some local government secretariat and set them on fire.

 

In a response, Amb Chijioke made it known that they will go after anyone that attacks his local government secretariat and destroy their investments in the state.

 

He also warned the former governor not to meddle into the affairs of the state because he has investments at stake in the state.

 

 

WATCH VIDEO BELOW

 

 

https://x.com/Topboychriss/status/1843354599308300305

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Rivers State: IGP orders immediate unsealing of LG secretariats

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In response to nationwide condemnation over his involvement in the recently concluded local government elections in Rivers State, Inspector General of Police Kayode Egbetokun has directed the immediate unsealing of secretariats across all 23 local government areas (LGAs) in the state.

 

 

A statement issued on Monday by the Police Public Relations Officer of the Rivers State Command, Grace Iringe-Koko, conveyed the directive. It explained that the newly deployed Commissioner of Police, CP Bala Mustapha, was tasked with ensuring the withdrawal of all police personnel who were initially deployed to seal and safeguard the LGA secretariats.

 

 

 

“This decision aligns with the Nigeria Police Force’s commitment to maintaining neutrality and ensuring the smooth operation of democratic institutions,” the statement read.

 

The directive follows the political tension that erupted after the purported extension of tenure for former council chairmen loyal to FCT Minister Nyesom Wike. The move was countered by Governor Siminalayi Fubara’s appointment of caretaker committee (CTC) chairmen, leading the IGP to order the sealing of the secretariats.

 

 

This action prevented local government workers and the CTC chairmen from accessing the council secretariats and carrying out their daily duties.

 

In light of the recent order to unseal the secretariats, the statement clarified that police would only be redeployed to these locations in the event of a crisis or breakdown of law and order. “Emergency measures will be swiftly implemented to restore normalcy if necessary,” the statement added.

 

 

The Rivers State Police Command reassured the public of its commitment to maintaining peace and order and urged residents to remain calm and law-abiding as the situation evolves.

 

The newly sworn-in 23 council chairmen are expected to resume work in their respective LGAs today, where they will also swear in the newly elected councillors.

 

 

 

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