The Nigerian Presidency has accused Chinese firm Zhongshan of attempting to seize Nigeria’s offshore assets through deceptive legal tactics in France. The company targeted presidential jets under routine maintenance, seeking to undermine President Tinubu’s administration. The Federal Government is now working to discharge the court orders and protect national assets.
The Nigerian Presidency has raised alarms over what it described as deceptive attempts by the Chinese company Zhongshan Fucheng Industrial Investment Co. Ltd. to seize offshore assets belonging to Nigeria, including presidential jets, under routine maintenance in France. The accusation comes after the firm misled a Paris court to issue a seizure order against the jets, which belong to the Nigerian government.
Diplomatic Immunity Breach
According to Bayo Onanuga, Special Adviser to President Bola Tinubu on Information and Strategy, the Chinese firm exploited the court’s ignorance by not fully disclosing the nature of the assets it sought to attach. Onanuga emphasized that the presidential jets are protected by diplomatic immunity, which should prevent any foreign court from seizing them.
The Dispute’s Roots in Ogun State
The root of this conflict dates back to a revoked contract between Zhongshan and the Ogun State government in 2015. The contract, signed in 2007, was centered on the management of a free-trade zone. However, by the time the agreement was terminated, Zhongshan had only constructed a perimeter fence. Despite this limited progress, the company secured an arbitration award of over $60 million against Nigeria. The Ogun State government resisted the enforcement of this award across multiple jurisdictions, including the UK and the USA, successfully blocking enforcement in eight of them.
Tinubu’s Administration Responds
The Presidency is now working closely with the Ogun State government to address the latest enforcement efforts by Zhongshan in France. Onanuga characterized the company’s actions as part of a broader strategy by unscrupulous foreign entities attempting to defraud African governments through questionable legal means. He assured Nigerians that the Federal Government would continue to protect national assets from predatory foreign companies masquerading as investors.
Settlement Attempts and Legal Maneuvers
Despite Zhongshan’s aggressive tactics, the Ogun State government has remained open to settlement negotiations. In September 2023, a high-level meeting was held in London between Ogun officials, including Governor Dapo Abiodun and Attorney General Lateef Fagbemi, and representatives of the Chinese firm. However, the talks broke down when Zhongshan unexpectedly reversed its initial willingness to consider Ogun’s offer and insisted on the full payment of the arbitration award.
This latest move by Zhongshan to enforce its judgment through an ex-parte order obtained in Paris underscores the ongoing challenges Nigeria faces in protecting its assets from international legal disputes. The Nigerian government remains committed to seeking a fair resolution while safeguarding its national interests.
