The Civil Society Legislative Advocacy Centre (CISLAC) and Transparency International Nigeria (TI-Nigeria) have called on state governors to exercise greater due diligence and seek comprehensive legal consultations during contract negotiations. This appeal comes in the wake of a French court’s seizure of three Nigerian presidential jets, linked to a contractual dispute between the Ogun State Government and Zhongshan Fucheng Industrial Investment Co. Ltd., a Chinese firm.
In a statement by CISLAC’s Executive Director, Auwal Rafsanjani, the organizations voiced their concern over the legal fallout from a 2007 agreement tied to the Ogun Free Trade Zone. They emphasized that the mismanagement of this contract has not only led to significant financial losses but has also tarnished Nigeria’s international reputation.
Rafsanjani stressed the importance of robust legal oversight in contract negotiations, urging state governors to be proactive in protecting public resources. He highlighted the need for government officials to fully comprehend the legal and ethical complexities involved in international agreements to avoid costly legal disputes.
“Nigeria is already facing numerous socio-economic challenges, and it is imperative that we avoid becoming entangled in avoidable legal disputes through proper due diligence,” Rafsanjani stated. He also criticized the Federal Government for allowing state governors to access loans without adequate risk assessments, warning that personal interests often lead to harmful agreements, drawing a comparison to the infamous P&ID case.
CISLAC and TI-Nigeria have consistently advocated for transparency and accountability in global governance, particularly following the P&ID arbitration order in 2017, which initially required Nigeria to pay $6.6 billion in fines for contractual breaches—a figure that later increased to $11 billion due to accrued interest.
Rafsanjani praised the efforts of CISLAC and TI-Nigeria in securing temporary relief through a UK court’s decision in the P&ID case. He also reiterated calls for President Bola Tinubu and anti-corruption agencies to prosecute all individuals, including former senior officials, involved in colluding with P&ID for personal gain.
The statement from CISLAC and TI-Nigeria reflects broader concerns about Nigeria’s management of international agreements and the critical need for vigilance and ethical governance in contract negotiations to prevent severe consequences from neglecting due diligence.
