Wednesday 22 January 2014

NPA LAND DEAL: Court Fixes Feb. 6 To Hear Otudeko's $48Million Suit Against Dangote

Dr. Oba Otudeko; Chairman, Honeywell group.  
and  Alhaji Aliko Dangote; Chairman, Dangote Group.
A Federal High Court, Lagos, yesterday fixed February 6 to hear a suit filed by Oba Otudeko against Alhaji Aliko Dangote and the Nigerian Ports Authority (NPA) over a land dispute.
Justice Okon Abang adjourned the case at the instance of the counsel to Dangote, Mrs Fola Sowemimo, to enable her to file written statement on oath.
Otudeko, Chairman of Honeywell Group, had filed the suit in 2006 at Justice Ramat Mohammed’s court. The suit has now been transferred to Justice Abang after the retirement of Mohammed.
He is claiming $US48 million against the defendants as damages for breach of contract over a 10.8 square metres of land within the Lagos Ports Complex, known as the 5th Apapa Wharf Extension.In the suit, the NPA, Bureau of Public Enterprises (PBE), Dangote Industries Ltd, Dangote and Greenview Development Nig. Ltd, are listed as first, second, third, fourth and fifth defendants respectively.
When the case came up on yesterday, Counsel to the plaintiff, Dr Joseph Nwobike (SAN), told the court that the case was slated for trial.
According to Nwobike, he is faced with the challenge of retrieving the exhibits tendered before the former judge.
The counsel, therefore, asked for an adjournment to enable him to retrieve the exhibits.
Meanwhile, Counsel to the third, fourth and fifth defendants, Sowemimo, has argued that the case was not yet ripe for hearing since the defence had yet to file its written statement on oath.
She urged the court to grant an adjournment in favour of the defence, adding that ``since the defence was unprepared it would serve the interest of justice to give them time to regularise.’’
Abang had in a bench ruling adjourned the case to Feb. 6 and ordered the defence to file its written statement before the next date of adjournment.
In the statement of claim, Honeywell Group stated that by an agreement, NPA leased the land to it for five years to set up a bulk food handling facility for a consideration of N2.168 million per annum, adding that in keeping with the agreement, it paid the amount and also paid N290, 000 for the survey of the land.
The plaintiff (Honeywell Group) noted that it took possession of the land to the knowledge of the defendants and began the required technical investigations and expenditures necessary for the setting up of the bulk food handling facility, which was to cost about $100 million.
The plaintiff added that despite being aware of its massive development plans on the land, the BPE suddenly suspended the pre-existing rights by concessioning NPA’s Apapa Ports Complex, including the Fifth Apapa Wharf Extension to Greenview Development Limited, a company related to Dangote.
Honeywell Group added that NPA and BPE latter asked it to vacate the facility  to ensure smooth transfer to new operator and accused  Dangote and his company of procuring and inducing the NPA to break the initial agreements and legal relations.
The plaintiff alleged that Dangote, through his agents, harassed, threatened and ordered its officials to vacate the land.
Besides, the plaintiff argued that BPE lacked the power under its so-called port reforms  to take over and alienate NPA’s assets when the NPA Act has neither been amended nor did any valid resolution of the appropriate body supports such action.
By the eventual eviction from the land, the plaintiff submitted that it lost the profit it would have made and was greatly injured in its business.
It also stressed that by virtue of the action of the defendants, the cost of putting up the contemplated structure had risen from $100 million to $148 million.
The plaintiff, therefore, is urging the court to declare it as the exclusive legal occupier of the land and to restrain the defendants from treating it as stranger or trespasser on the land.
Otudeko averred that Dangote, through his agents, harassed, threatened and ordered his employees to vacate the land.
He said by the forceful eviction, he lost the profit he would have made and was ``greatly injured in his business.’’
Otudeko urged the court to declare Honeywell Group as the exclusive legal occupier of the land and to restrain the defendants from treating it as a stranger or trespasser on the land.
He also wants the sum of $US48 dollars as damages for additional expenses required to build the bulk food handling facility.
http://shippingposition.com.ng/article/npa-land-deal-court-fixes-feb-6-hear-otudekos-48million-suit-against-dangote

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