The Federal Government of Nigeria has accused Zhongshan Fucheng Industrial Investment Co. Limited, a Chinese company, of attempting to seize Nigeria’s offshore assets through subterfuge.
This accusation follows a French court’s ruling in favor of the Chinese firm, granting it the authority to seize three Nigerian presidential jets currently undergoing routine maintenance in France.
The legal battle stems from a 2007 contract between the Ogun State government and Zhongshan to manage a free-trade zone, which was later revoked by the state in 2015. Following this, Zhongshan initiated an investment treaty arbitration against Nigeria, claiming the country violated its obligations under the China-Nigeria Bilateral Investment Treaty (BIT). The arbitration ruled in favor of Zhongshan, awarding the company millions of dollars in compensation.
Despite Nigeria’s appeals in various jurisdictions, including the United Kingdom and the United States, the latest ruling in France has led to the seizure of the presidential jets as “security” for the arbitration claims. The Nigerian government, however, insists that it is not under any contractual obligation with Zhongshan and criticizes the firm for using unorthodox methods to target Nigerian assets.
Presidential spokesman Bayo Onanuga likened the case to the notorious P&ID saga, accusing the Chinese company of misleading the French court to secure the seizure of the jets, which he argues are protected by diplomatic immunity as assets of a sovereign state. He reassured Nigerians that the government is working closely with the Ogun State government to overturn the court’s order and safeguard national assets.
This development occurs amid ongoing concerns about the condition of Nigeria’s presidential fleet, which has recently faced technical issues, prompting President Bola Tinubu to use hired jets for official travel. The controversy also coincides with plans to purchase a new presidential jet, raising further scrutiny on the state of the Presidential Air Fleet.
