A French court has issued a bold order to seize three Nigerian government-owned jets, including a Dassault Falcon 7X at Le Bourget airport in Paris, a Boeing 737, and an Airbus 330 at Basel-Mulhouse airport in Switzerland. All are currently undergoing maintenance.
The Nigerian government reportedly paid over $100 million for the Airbus, in a dispute with Chinese company Zhongfu over an alleged breach of contract with the company whose export processing zone management was revoked by the Ogun State government in 2016.
The judgment marks the latest escalation in a long-running legal battle between Nigeria and foreign companies, with Zhongfu accusing the Nigeria of reneging on a 2013 agreement to develop a free trade area.
A London arbitration panel previously awarded Zhongfu $70mn in damages, now grown to $81mn with interest, after finding Nigeria liable for breaching the contract.
Zhongshan has secured an enforcement order against Nigerian government properties in Liverpool, the properties against which Zhongshan secured charging orders are located at 15 Aigburth Hall Road, Liverpool and Beech Lodge, 49 Calderstones Road, Liverpool, estimated by the company to be worth between £1.3 and £1.7 million has now turned its attention to seizing the jets, parked in France, to recoup the damages.
Despite the mounting legal pressure, Nigeria’s government has remained silent, refusing to comment on the case or indicate willingness to pay the damages.
The case highlights the challenges of international arbitration and the potential for foreign companies to seize assets of sovereign nations, sparking concerns over the transparency and fairness of global arbitration systems.
