Nigeria Faces $25M Seizure by Chinese Investors Over Failed Trade Deal

A British Virgin Islands court has authorized Chinese investors from Zhongshan to seize $25 million from Nigeria's foreign assets.

This decision arises from a dispute linked to the defunct Ogun Free Trade Zone agreement.

Justice Paul Webster, presiding over the case, stated that "Nigeria was not immune to execution of an arbitral award and subsequent judgment debt in favour of Zhongshan," due to the terms outlined in the bilateral investment treaty between China and Nigeria.

This ruling is part of a series of legal setbacks Nigeria has faced in international courts, including those in the UK, France, Belgium, Canada, and the United States.

The case centers on allegations that former Ogun State governor Ibikunle Amosun reneged on the trade zone deal, with claims that he detained and tortured the investors under his orders.

Zhongshan, represented by Timothy Otty (King’s Counsel) and Lauren Peaty of Withers British Virgin Islands, argued successfully for the enforcement of the $74.5 million award initially granted by an independent arbitral tribunal.

This tribunal was chaired by a former President of the UK Supreme Court.