Abubakar Malami, the Attorney-General of the Federation and Minister of Justice, announced that the Federal Government had paid $496 million to resolve a long-running $5.26 billion contractual lawsuit with a foreign investment group in the steel industry.
The International Chamber of Commerce’s Alternative Dispute Resolution framework, headed by Phillip Howell-Richardson, was the basis for the mediation processes, according to a statement released by Dr. Umar Gwandu, Special Assistant, Media and Public Relations, Office of the AGF.
The compensation deal, according to the government, took effect on August 19, 2022.
He disclosed that the five contracts signed by President Olusegun Obasanjo’s government between 1999 and 2007—which gave one firm group, the Global Steel group, total domination over the Nigerian steel market—were the cause of the problems.
He claims that in 2008, the Umaru Yar’ Adua administration went ahead and terminated the contracts in defiance of the Federal Ministry of Justice’s legal counsel, who highlighted the termination losses in the form of reparations.
It was noted that with this development, Malami said President Muhammadu Buhari has now saved the steel industry from protracted and complex conflicts as well as sparing the taxpayer from significant losses.
- Tags: #FG, #steel industry
