Nigeria wins P&ID case, as London court dismisses $11bn award (See 140-page judgment)

Nigeria on Monday emerged victorious in a long drawn $11 billion legal case involving Process & Industrial Developments (P&ID) Limited in a London court.

P&ID had dragged Nigeria to the court claiming it entered into an agreement with the country to build a gas processing plant in Calabar, Cross River State, but the deal collapsed because the Nigerian government did not fulfil its end of the bargain.

See the full 140-page judgment below:
Nigeria v P&ID judgment

The case which has lasted over five years was concluded in a judgment delivered by e-mail by Justice Robin Knowles, the judge of the Commercial Courts of England and Wales, which upheld Nigeria’s prayer on the ground that the ill-fated gas processing contract was obtained by fraudulent means by the company.

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In the ruling, the court squashed the $11 billion arbitration award previously given in favour of P&ID and halted the enforcement of the award by upholding Nigeria’s prayer.

A private arbitration tribunal had on January 31, 2017, ordered Nigeria to pay the sum of $6.6 billion to P&ID plus interest dating back to March 20, 2013, with a fixed interest rate at seven percent, amounting to $1 million per day, which brought the potential payment to an accumulated $11 billion before the verdict.

Nigeria had based its argument on the grounds that P&ID had obtained the said contract fraudulently, further accusing the company of bribery and corruption on an ‘industrial scale,’ alleging that key associates of P&ID suppressed evidence of corruption in the initial arbitral proceedings.

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