Thursday 18 December 2014

SHIPPERS’ COUNCIL VS TERMINAL OPERATORS, SHIPPING AGENCIES

Executive Secretary of Nigeria Shippers Council (NSC), Barrister Hassan Bello
• Court Upholds Shippers’ Council’s Powers as Economic Regulator
• Orders Terminal Operators , Shipping Agencies To Revert To 2009 Rates

 
 
A Federal High Court sitting in Ikoyi Lagos yesterday upheld the status of the Nigerian Shippers’ Council as the economic regulator of the nation’s seaports.
The presiding Judge, Justice Ibrahim Buba also ordered terminal operators under the auspices of Seaports Terminal Operators of Association Nigeria (STOAN) and shipping agencies under the aegis of Association of Shipping Line Agencies (ASLA) to revert to the various 2009 charges as directed by the Nigerian Shippers' Council.
The court also ordered the shipping agencies and terminal operators to return excesses revenue made from 2009 to date to the Cargo Defence Fund (CDF) for the benefit of Nigerian shippers.

Justice Buba, who had on Monday promised to give his ruling on the twin suits yesterday, gave the orders while delivering verdict in a case filed by STOAN and ASLA against the Nigerian Shippers’ Council (NSC) and Shippers’ Association of Lagos State (SALS) who joined as a co-defendant.

Justice Buba said that the plaintiff do not have the power to determine pricing in port operations, adding that the plaintiff omitted some key grounds in their case.
Justice Ibrahim Buba while dismissing the plaintiff case said: “It is easier for the camel to pass through the eye of the needle than for this court to uphold the prayers of the plaintiff”.
He stated that there should be a level playing ground as regards charges in Nigerian ports, and dismissed the case in favour of the Nigeria Shippers’ Council and the Shippers’ Association of Lagos State (SALS).

The Justice also dismissed the case brought by the plaintiff on ports charges, even as he ordered the shipping companies to account for money collected since 2009 up till date as charges.

He affirmed that the counter affidavit filed by SALS and NSC against the plaintiff remained sustained.
However, speaking with journalists after the ruling, Counsel to SALS; Barrister Osuala Nwagbara stated that the decision by the judge makes Nigerian importers and exporters to be released from the captivity of all the shipping lines in Nigeria.

He said that there will be no more shipping line agency charge within the Nigeria maritime community, adding that the court had stamped and confirmed the Nigeria Shippers Council as the economic regulator of Nigerian ports.

The SALS lawyer noted that all the increases that were introduced on containerised cargoes over what was approved by the Minister of Transport in 2009 are illegal, because the position of that year has be reverted to be; going by the judgment of the court ruling.

Nwagbara pointed out that,  "this judgment is quite significant to the Nigeria maritime industry because it gives hope for the Nigerian importers and this is just the beginning of the battle that Nigerian importers have to fight"

"It is significant to the industry and it is a sign and warning to all those who engage themselves in any form of illegalities in the Nigerian ports system to adjust before the long hand of the law catches up with them".

He also said that Nigerians shippers are expecting refund on account of the verdict of the court.

Also speaking to the media, counsel to the Nigeria Shippers Council; Barrister Emeka Akabogu said that there will be huge relief on the part of the shippers.

Akabogu however said that cargo diverted to neighbouring West African countries will gradually find their ways back to Nigeria as a result of the court order.

He stressed that the development will bring more revenue into the coffers of the Nigeria government, while the impunity of the shipping companies will be halted, even as he added that the verdict of the court is a landmark achievement for the maritime sector.  http://shippingposition.com.ng/article/shippers%E2%80%99-council-vs-terminal-operators-shipping-agencies

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