Sawoe Construction Company Limited & Dantata’s liquidation case has been struck out by the federal high court in Abuja after confirming that the company has fully paid the $1.4 million settlement agreement covering a $1,257,592.83 debt owed to Zutari Consulting Nigeria Ltd for subcontract work on the Dangote Fertilizer Plant project in Lekki, Lagos.
Justice Mohammed Umar on Wednesday vacated and discharged the earlier orders appointing liquidators for Dantata & Sawoe after reviewing affidavits and hearing submissions from both parties’ legal teams.
It was previously reported that, in a bid to escape liquidation following a recent winding-up order of the Federal High Court, Dantata & Sawoe—via a motion on notice, disclosed that it had made full payment to the consulting firm.
This development comes just a day after Nairametrics reported that Justice Mohammed Umar granted Zutari Consulting’s request for the appointment of a liquidator, noting that Dantata & Sawoe had been given ample time to settle the debt but repeatedly presented excuses.
It also follows months after the court approved the publication of a winding-up petition in two national newspapers.
Zutari Consulting is involved in engineering design, consulting, and supervision of engineering works, while Dantata & Sawoe has been engaged in general construction services for over three decades.
What Transpired in Court
At Wednesday’s hearing, Joshua E. announced appearance for Zutari Consulting, while I. Okim represented Dantata & Sawoe.
Both lawyers confirmed to the court that their clients had reached a settlement, and that Dantata & Sawoe had cleared the outstanding debt.
Okim urged the court to grant the company’s motion in view of the latest development.
In response, counsel for Zutari Consulting made an oral application to discontinue the liquidation case against Dantata & Sawoe.
After hearing from both sides, the judge held that the “motion is granted” and subsequently struck out the case.
What You Should Know
Citing grounds for the application, Dantata & Sawoe’s lawyer, I. Otim, acknowledged that the court had appointed liquidators based on the company’s inability to pay its arbitral award debt.
He added, however, that his client “has paid the arbitral award debt to the petitioner in this matter,” and argued that there was now a need to stay execution of the court’s orders or discharge the orders made on December 3, 2025.
Additionally, the Head of Litigation and Insurance for Dantata & Sawoe, John Dalamu, stated in his affidavit that further execution of the liquidation order would cause irreparable harm to the company and that it was in the interest of justice for the court to grant a stay of execution.
Backstory
Last year, Nairametrics reported that the court granted the parties a 30-day extension for settlement and adjourned the matter multiple times to hear Zutari Consulting’s motion seeking the appointment of a provisional liquidator over the alleged debt.
Zutari Consulting’s lawyer, Chris Ekemezie, stated that arbitration was conducted in London, United Kingdom, and that a final arbitral award issued on April 7, 2021, held Dantata & Sawoe liable for the debt.
He added that the petitioner was engaged by the respondent in 2015 to execute design components of subcontract works at the Dangote Fertilizer Plant project in Lekki.
They contended that after completing the job, Dantata & Sawoe became indebted to them in the sums of $1,257,592.83, ZAR 2,136,623.39, and £4,364.38.
He argued that the respondent’s failure to pay the outstanding amount led to a dispute that was referred to the International Chamber of Commerce for arbitration after both parties failed to resolve it. The tribunal ruled in the petitioner’s favour.
However, in a preliminary objection filed on May 9, 2023, Dantata & Sawoe’s legal team urged the court to strike out the petition for lack of jurisdiction, informing the court that an appeal had been filed amid ongoing settlement talks.
Nairametrics also reported that the case witnessed several adjournments.
Dantata & Sawoe’s legal team later maintained that they had offered to pay 75% of the debt, but the consulting firm rejected the offer.
After hearing both parties, the judge noted the company’s unwillingness to pay and granted the petitioner’s request to appoint Joseph Abiolu, FCA, as liquidator to wind up the company in line with Sections 571(d), 572, and 573(1)(b) of the Companies and Allied Matters Act (CAMA) 2020.
