A United Kingdom court has ruled that Process & Industrial Developments (P&ID) Limited must pay £20 million in damages and compensation.
The court, in its ruling, highlighted the heinous conduct of P&ID during the legal process as a key factor behind the decision.
A United Kingdom court has ruled that Process & Industrial Developments (P&ID) Limited must pay £20 million in damages and compensation.
The judgment comes after a closely watched legal battle over a $11 billion debt, with the court ordering the payment to Nigeria within the next 28 days.
The revelation of the £20 million damages award surfaced during a subsequent ruling in London to delve into the aftermath of the October 2023 judgment. The court, in its ruling, highlighted the heinous conduct of P&ID during the legal process as a key factor behind the decision.
The hearing also addressed P&ID’s request for permission to appeal the decision and remand the case to arbitration. However, the court firmly denied P&ID’s appeal, underscoring the gravity of the company’s actions during the proceedings.
Nigeria initially sought £20 million in damages and legal fees in its lawsuit against P&ID. The tide turned in October when the UK court freed Nigeria from the $11 billion judgment debt that had favored P&ID Limited.
In the case between the Federal Government of Nigeria and P&ID, Justice Robin Knowles of the Commercial Courts of England and Wales upheld Nigeria’s claim that the gas processing contract was secured through fraudulent means.
After five years of legal battles, Judge Knowles stated, “In the circumstances and the reasons I have sought to describe and explain, Nigeria succeeds in its challenge under section 68. I have not accepted all of Nigeria’s allegations. But the awards were obtained by fraud, and the way they were procured was contrary to public policy.”
The background to the case dates back to 2010 when Nigeria contracted P&ID to construct a gas processing plant in Calabar, Cross River State. The deal eventually collapsed due to the Nigerian government’s failure to fulfill its obligations.
