Presidential Aircraft: Ogun moves against fraudulent legal process by Zhongshan

The Ogun State Government has challenged the judicial process that led to the provisional attachment of three Nigerian government-owned aircraft in France. The Judicial Court of Paris issued the attachment orders on March 7 and August 2, 2024.

A Chinese company, Zhongshan Fucheng Industrial Investment Co. Ltd., had sought various court orders related to a failed contract with the Ogun State Government, which originated in 2007.

In a statement signed by Hon. Kayode Akinmade, Special Adviser to the Governor on Media and Strategy, the Ogun State government criticized the recent development as another attempt by Zhongshan to seize Nigerian assets abroad, following previous unsuccessful efforts.

The statement described the legal process as a charade with fraudulent elements. It claimed that Zhongshan deliberately concealed the litigation from both the Nigerian government and Ogun State, as well as their legal representatives, before hastily securing the seizure orders.

The statement also alleged that Zhongshan misled the Judicial Court of Paris regarding the use and nature of the assets it sought to attach, failing to make full legal disclosures.

Ogun State, along with the Federal Government, has taken immediate steps to ensure the provisional attachments are lifted. The company is accused of backtracking on earlier discussions aimed at resolving the matter amicably.

The case was compared to the P&ID dispute, highlighting it as another instance of unscrupulous individuals posing as foreign investors to defraud Ogun State and Nigeria.

The statement read: "On August 14, 2024, the Ogun State Government was informed of the provisional attachment of three Nigerian government-owned aircraft in France by Zhongshan Fucheng Industrial Investment Co. Ltd. (Zhongshan). The state also learned of two Judicial Court of Paris orders, dated March 7, 2024, and August 12, 2024, respectively, which Zhongshan obtained without notifying the Federal Government, Ogun State, or their legal counsel.

"This marks the latest attempt by Zhongshan to attach Nigerian-owned assets abroad, none of which have previously led to the recovery of any funds from Nigeria.

"Each of the three aircraft is used exclusively for sovereign purposes and is therefore immune from attachment under international and French laws. Zhongshan obtained the provisional attachments by withholding information from the Federal Government, Ogun State, and their legal counsel.

"Similar to the P&ID case, this is another unfortunate example of individuals masquerading as foreign investors with the intent to defraud Ogun State and Nigeria.

"It should be noted that the contract between Ogun State and Zhongshan, executed in 2007, was established 12 years before the current administration for managing a free-trade zone. A dispute arose in 2015, leading to arbitration in 2016.

"By 2019, when the current State Administration took office, arbitration was nearly concluded. The Arbitral Panel awarded over $60 million against the Federal Government of Nigeria, which was a co-defendant, despite Zhongshan only constructing a perimeter fence around the free-trade zone. This decision was deemed unfair.

"The current administration could not in good conscience accept such a baseless decision that would deplete the resources of Ogun State. Consequently, based on expert legal advice, the administration chose to resist the enforcement of the award. This resistance has been successful in eight different jurisdictions, with ongoing appeals against recognition orders issued in the US and UK."