The Federal Government has secured an order of variation in the $9.6 billion arbitral award on favour of Process and Industrial Development (P&ID) against Nigeria.
In a statement by the Attorney General of the Federation (AGF) and Minister of Justice, Abubakar Malami (SAN) through his special assistant on media, Dr Umar Gwandu, he said the order for the court has varied the payment of $200m security to issuing bank guarantee against Nigeria.
According to the AGF, the Federal Government appealed against the payment of $200m security component which was a condition for stay of execution of the judgment, which was granted by the court.
“The advantage of the variation in the judgment from direct deposition of cash to posting of bank guarantee is that the money and its control resides in the Federal Government unlike when otherwise,” he statement read.
“The success recorded so far in relation to the $200m security deposit is that the amount of money remain in our custody, and we are simply providing a document. It is only when our case did not success, which we never anticipate, then the court can order the withdrawal of the amount as stated in the bank guaranty.”
Malami said the Federal Government request the change in the method of paying the security deposit because it believes that the entire contract will be quashed on the basis of fraud.
The Minister reiterated commitment to vigorously pursue the case aiming at seeking to set aside the award of $9.6bn and get the entire contract quashed
