Victor EzejaThe long-standing contract dispute between Ogun State government and a Chinese firm, Zhongshan, that led to a court order in France for seizure of Nigeria’s three presidential jets, has generated debates in different quarters on why the Federal Government should be responsible for it.
However, an international affairs analyst, Bayo Olowoake, has stated that under the international system, Nigerian government is customarily involved in any dealing between a state or sub-national and an international entity.
Join our WhatsApp ChannelOlowoake, who appeared on Channels Television‘s Sunrise Daily on Friday, said that unlike the Federal Government, sub-nationals don’t play at the international scene.
A French court reportedly granted an order prohibiting movement, sale or purchase of the three aircraft in Nigeria’s presidential fleet due to a dispute between a Chinese firm, Zhongshan, and Ogun State over the management of an export processing zone.
The seized jets include a Dassault Falcon 7X in Paris, a Boeing 737, and an Airbus A330 valued at over $100 million. The latter two are currently undergoing maintenance in Switzerland.
The Chinese firm has been in a long-standing legal dispute with Ogun State over the management of an export processing zone.
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Zhongshan, through its parent company Zhuhai Zhongfu Industrial Group Co. Ltd secured the rights to develop the Ogun Guangdong Free Trade Zone (OGFTZ) in Ogun State, Nigeria.
After the company had done significant work in developing the free trade zone such as road construction, power networks other infrastructure, the state government abruptly terminated the contract.
This made the Chinese company to pursue legal action against Nigeria, claiming breach of the bilateral investment treaty.
A UK Supreme Court was said to have ruled that Nigeria failed in meeting its obligations under the China-Nigeria BIT and awarded about $70 million against Nigeria to settle the deal.
Following years of unsuccessful attempts to resolve the dispute amicably, the latest move by the Chinese firm is to use the presidential jets as a security to recover the money said to be currently at $74.5 million.
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Presidency reaction
The Presidency had in a statement on Thursday, said the action of the Chinese firm was an attempt to arm-twist the Nigerian government in the long-standing dispute.
Bayo Onanuga, special adviser to President Bola Tinubu on information and strategy, claimed that the Federal Government is not under any contractual obligation with the Chinese firm and that the jets are under diplomatic immunity and not supposed to be seized.
However, Olowoake said “the issue of dispute between a sub-nationals in Nigeria and any international entity will invariably involve the Federal Government because in the international law, especially when it comes to international arbitration, it will be the government of Nigeria that will be the first respondent.”
He argued that internationally, “Nigeria is the one that plays within that arena, sub-nationals don’t play in the international arena. Only the Federal Government, for instance has the ministry of foreign affairs, states don’t have ministries of foreign affairs.”
He explained that when for instance, any state wants to obtain a loan from an international entity, it will have to be guaranteed by the Federal Government.
“So, to this extent, one can understand why the Federal Government has been taken to court.”
He said it is quite embarrassing that Nigeria found itself in such litigious circumstance.
The international affairs analyst urged the Federal Government to hire best legal experts both in the country and abroad to pursue the case and ensure that the assets are released so that the reputation of the country can be regained.
Nigerians Express Outrage Over Presidential Jet Seizure
Nigerians have taken to social media to express outrage over the seizure of three presidential jets belonging to the Federal Government.
Presidential candidate of the Labour Party in the 2023 election, Mr Peter Obi, described the incident as “an international embarrassment,” adding that it reflects failure of leadership and attitude to rule of law in a democracy.
Obi decried the fact that the Federal Government secretly went ahead to procure the presidential jet at the cost of $100 million at a time the citizens are experiencing the worst cost of living crisis in the history of the country, adding that it is the height of insensitivity of the current government.
“Added to it is the embarrassing aspect of our country’s Presidential jets being held for contractual breaches arising from yet another dimension of inadequate leadership tidiness.”
Obi said he has overtime emphasised that government at all levels should be accountable to the people by being transparent in all their dealings. “Until a court in France prohibits Nigeria from moving or selling these three jets, Nigerians have no iota of information about both the buying and selling of these aircraft.
“It has been done in secrecy. Federal Government property, which belongs to the people, is being managed as a personal family asset.
“Paying as much as $100m dollars for a Presidential jet for a country that is the poverty capital of the World and has more out-of-school children with over 40% food inflation is the height of concern for the people’s feelings. This incident has also opened up an aspect of indiscipline that is copiously embedded in our country which is the abuse and disrespect for the rule of law,” Obi stated via his verified X handle
Some X users queried why the Ogun State government failed to settle the matter amicably with the Chinese government until it brought the Federal Government such an international embarrassment.
An X user with the username Charles Green called for sanction of whoever caused the problem.
“Someone must be made to face consequences of this embarrassment. The Gov that signed the contract and those that terminated it. The problem of Nigeria lies major on punishment for wrong doing. People do whatever they like in positions of responsibility and get away with it,” @AkaliCharles3 wrote
“Hmmm, just like child’s play what a shame. A country called giant of Africa, being humiliated by one one man, not by government.” Another user, Maxwell Chidubem @ChidubemMath21141 wrote. “They said over 200 millions should tighten their belts while less than 1 million feed fat and buy private jet that has now been seized.
How much does that private jet cost again? That tells you how much was seized and deprived millions of Nigerians,” Martin @Martindbold wrote.
Victor Ezeja is a passionate journalist with six years of experience writing on economy, politics and energy. He holds a Masters degree in Mass Communication.
