Court fixes March 25 for judgment in $418m Paris Club refund suit

February 15

18:12 2022

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A federal high court in Abuja has fixed March 25 for judgment in the Paris Club refund suit instituted by the 36 states of the federation.

Inyang Ekwo, presiding judge, fixed the date on Tuesday after lawyers made final submissions.

The plaintiffs in the suit marked: FHC/ABJ/CS/1313/202 seeking to restrain President Muhammadu Buhari and others from effecting the planned deduction of $418 million from states’ funds to settle the debt owed consultants engaged by states and LGs.

The controversial payment of $418 million to consultants over the Paris Club refund had become a contending issue between the three tiers of government.

Consultants had claimed the amount as a percentage for the payment of services rendered to the states and local government councils. But the amount did not go down well with the governors who requested a forensic audit over the claim made by consultants.

The court, had on November 5, restrained the federal government from deducting $418 million from states’ accounts to pay the disputed debt.

While the 36 states’ attorneys-general are the plaintiffs, 43 defendants joined in the suit, including the attorney-general of the federation (AGF), Debt Management Office (DMO), among others.

On December 7, the court declined the federal government’s request to vacate the previous order.

At the court session on Tuesday, Sunday Ameh, plaintiffs’ lawyer, in his final submission, argued that the defendants misconstrued his clients’ suit.

Ameh faulted the argument by the defendants that the suit was challenging existing judgments given by the court in favour of some of the consultants.

“We are not challenging the judgments. We are saying the way the federal government and its agencies are going about enforcing the judgments violates sections 120 and 162 of the Constitution,” Ameh said.

However, lawyers to the defendants, including Wole Olanipekun, Maimuna Lami Shiru (acting director, civil litigation, federal ministry of justice) and Olusola Oke, faulted the competence of the suit and urged the court to dismiss it.