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$418m Paris Club Debt: Again, Court Stops FG From Deducting States’ Funds
A Federal High Court in Abuja, yesterday, refused to vacate its order restraining the Federal Government from deducting monies accruing to the 36 states from Federation Account to settle $418 million judgement debt in relation to Paris Club Refund.
Justice Inyang Ekwo, who declined to grant the plea by counsel to the defendants in the suit, adjourned the matter until December 13.
Ekwo held that since the order was made based on the plaintiffs’ motion on notice filed before the court, all pending applications would be taken on the next adjourned date.
The judge had, on November 5, made the order after counsel to the 36 state governments (plaintiffs), Jibrin Okutekpa, SAN, moved an ex-parte motion, seeking for an order of interim injunction, restraining the Federal Government from deducting any money accruing or due to all or any of the 36 states of the federation.
The court had also ruled that the restraining order would subsist pending the determination of the substantive suit.
While the 36 states Attorneys-General are the plaintiffs, some of the defendants listed in the suit include the Attorney-General of the Federation (AGF), Accountant General of the Federation and Ministry of Finance.
Others are Central Bank of Nigeria, Debt Management Office, Federation Account Allocation Committee, Incorporated Trustees of Association of Local Government of Nigeria (ALGON), among others.
According to the motion dated and filed October 27, 43 defendants are sued in the matter.
At the resumed hearing, counsel to the plaintiffs, Okutekpa told the court that the matter was slated for hear.
He said he had two motions which he intended to move.
He told the court that though most of the defendants had responded by serving on them various applications, the 9th defendant (Dr Chris Asoluka, who does business under the name and style of NIPAL Consulting Network) had refused to receive their court processes.
“We have a motion ex-parte to serve the 9 defendant an originating process. The process dated December 6 was filed on December 6 and it is praying for an order of substituted service on the 9th defendant,” he said.
The judge then granted prayer one of the motion and ordered that the service be made on the 9th defendant within three days through pasting of the notice on his address.
The senior lawyer told the court that the second motion was an application praying the court for an extension of time to file and serve their counter affidavit and all other processes in response to the defendants’ applications.
Ekwo also granted prayer one of the motion and granted prayer two in part subject to the service of the motion on the two counsels who appeared for 15th, 16th, 10th and 11th defendants.
The two counsels had opposed the motion on the ground that they had not been served with the copy.
Okutekpa then asked for a date for hearing.
However, Oyin Koleoso, who appeared for the 1st, 2nd, 4th and 6th defendants (President of Nigeria, AGF, Ministry of Finance Incorporated and Debt Management Office), informed the court that a motion asking the court to vacate the earlier order made had been filed.
Wole Olanipekun, SAN, who appeared for the 14th defendant (Dr Ted Iseghohi-Edwards), also urged the court to set aside the order.
He argued that he made the plea based on the Supreme Court and Appeal Court decisions under which the judge took the application.
Olusola Oke, SAN, who is lawyer to 12th and 13th defendants (Riok Nigeria Ltd and Prince Nicholas Ukachukwu), also supported Olanipekun’s submission.
Oke, who told the court that his clients were affected by the order, urged the court to take their application seeking for the order to be vacated.
Orji Orizu, who appeared for himself in the suit as 18th defendant, backed Oke’s statement.
He argued that since an ex-parte motion lasts within 14 days, the lawyer prayed the court to discharge the order.
“That is what we are here for. A motion ex-parte is something done without the presence of the other parties and it Is the first thing the court ought to do before adjournment,” he added.
Idumodin Ogumu, who represented 15th and 16th defendants (Panic Alert Security Services Systems Ltd and Dr George Uboh), said he aligned himself with submissions of other counsel.
He argued that based on the rule of the court, the order granted by the court was deemed to have elapsed and no longer had effect.
However, counsel to the plaintiffs, Okutekpa, disagreed with the defence submission.
He referred the court to the order which its made.
The senior lawyer argued that it was an order of interim injunction restraining the Federal Government, acting through its agencies also joined in the suit, from deducting the plaintiffs’ monies pending the determination of the motion on notice.
He said the order was also made in compliance with the rule of the court.
“Your Lordship was aware of the rule when you were making the order.
“What I am saying now is that all we are doing now is a nullity because I am yet to serve the 9th defendant.
“This is not an application that your lordship should hurriedly take. Let other defendants be here so that it will not be taken piecemeal,” he enjoined.
After taking all the arguments, Ekwo noted that the restraining order was made subject to the motion on notice filed by the plaintiffs.
President Bola Tinubu has ordered a Federal Executive Council committee to move swiftly on measures to further reduce food prices across the country.
The Minister of State for Agriculture and Food Security, Senator Aliyu Sabi Abdullahi, disclosed this in Abuja, on Wednesday.
According to him, the directive focuses on ensuring safe passage of farm produce across transport routes to cut logistics costs.
“The President has given a matching order with a Federal Executive Council committee already handling it on how we are going to promote safe passage of agricultural foods and commodities across our various routes in the country,” Abdullahi said at a capacity-building workshop for Senate correspondents.
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Nigeria, Africa’s most populous nation, has faced worsening food insecurity since the removal of fuel subsidy, high transport costs, and insecurity on major highways disrupted the movement of goods.
Despite government interventions, food remains largely unaffordable for millions.
The minister said the plan is tied to Tinubu’s broader vision of food sovereignty—beyond availability to ensure affordability, accessibility, and nutrition on a sustainable basis.
To back this up, he revealed that government is set to roll out a Farmer Soil Health Scheme to boost productivity and a revamped cooperative reform initiative to mobilise resources and empower rural farmers.
“Mr. President has shown tremendous interest in the cooperative sector as a veritable tool for resource mobilisation, for economic activity generation, and to improve the livelihood of members,” Abdullahi added.
The event, with the theme, “Parliamentary Reporting: Issues, Challenges and Responsibilities,” also featured Senate Media Committee Chairman, Senator Yemi Adaramodu; ex-presidential aide, Senator Ita Solomon Enang; and NILDS DG, Prof. Abubakar Sulaiman.
The Federal Government has warned contractors, including foreign firms, that any breach of regulations in road projects awarded to them may lead to arrest by the Economic and Financial Crimes Commission and the Independent Corrupt Practices and Other Related Offences Commission.
The Minister of Works, David Umahi, issued the warning during an inspection of the ongoing dualisation of the East-West Road (Section IIIA) from Eleme Junction to Onne Port Junction in Rivers State.
The section is being executed by Reynolds Construction Company (Nigeria) Limited.
Responding to questions from journalists, Umahi commended the quality of work on the project but expressed displeasure over the slow pace, stressing that the December completion deadline remains sacrosanct.
On the project, he said:“The quality of the work is excellent, but the pace of work is totally unacceptable. Let me make it very clear to the contractor that this project will neither be reviewed nor varied in price or claims.
“I’m sure we have issued over 10 warning letters to them. If they fail to comply with the completion deadline of December 15, we will not extend it.”
He added that the ministry had already put measures in place to enforce compliance
“The comptroller has negative certificates to issue, and I will recover the money from any of their other projects. All those letters are on record, and when the time comes, they will be invoked. Any contractor who refuses to abide by regulations will have the EFCC and ICPC to contend with,” he said.
Umahi further disclosed that the Federal Government had directed that road projects valued below N20bn would no longer be awarded to expatriate companies, in line with its “Nigeria First” policy aimed at strengthening indigenous capacity in the construction sector.
“This is part of the Nigeria First policy of the Federal Government. Henceforth, no expatriate firm will be awarded any project valued below N20bn. Such projects must go to indigenous companies, while expatriates focus on higher-value projects requiring more technical capacity,” he said.
The minister also noted that the Federal Ministry of Works had adopted a funding prioritisation framework to sustain road projects initially financed by the Nigerian National Petroleum Company Limited under the Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme.
He stressed that President Bola Tinubu had directed that none of such projects should be abandoned, adding that priority would be given to critical economic corridors.
Umahi also decried the indiscriminate parking of heavy-duty vehicles on highways, saying it was damaging the pavements of completed sections of the road.
He said letters would be sent to state governors and the Inspector-General of Police to enforce punitive measures against defaulters.
Earlier, the Federal Controller of Works in Rivers State, Mrs Enwereama Tarilade, said RCC had completed 15km of the right carriageway and commenced work on the left carriageway, with one kilometre already laid in Continuously Reinforced Concrete Pavement.
The Rivers State Government says it will ensure the smooth and successful takeoff of the newly established Federal University of Environment and Technology (FUET), in Ogoniland.
This commitment was made yesterday by the Administrator of Rivers State, Retired Admiral Ibok-Ete Ibas (Rtd), during a courtesy visit by the university’s Governing Council and Management team at the Government House, in Port Harcourt.
The high-level delegation was led by the Pro-Chancellor and Chairman of the Council, Professor Don Baridam and the Vice-Chancellor, Professor Chinedu Mmom.
In his address, Administrator Ibas warmly congratulated the pioneer council and management on their appointments, describing their task as both a recognition of individual accomplishment and a historic call to duty.
“This is not just a recognition of your personal achievements but also a call to history to shape an institution that will have a profound impact on Rivers State, the Niger Delta, and indeed our country,” he stated.
The Administrator commended President Bola Ahmed Tinubu for the establishment of the specialized university in Ogoniland, describing the initiative as “timely and strategic.”
He emphasized that the university’s presence offers a critical opportunity to drive research, innovation, and community-focused solutions to the region’s pressing environmental and developmental challenges.
He further noted that the university’s core focus aligns perfectly with the priorities of his administration.“We consider this university not merely as another institution of higher learning but as a strategic partner in our collective effort to rebuild Rivers State under the ongoing state of emergency and beyond,” he affirmed.
Responding to specific requests presented by the delegation, Administrator Ibas assured the university of immediate support in critical areas essential for the its commencement.
These include the provision of operational vehicles, key facilities, and the completion of the access road to the campus, adding that other vital needs, such as perimeter fencing, refuse disposal, and the issuance of a Certificate of Occupancy, would be addressed within the framework of the state’s broader infrastructure and support programmes.
To ensure swift action, the Administrator directed the Secretary to the State Government (SSG) to work closely with the university’s Governing Council to prioritize the sequence of requests, particularly those tied to the commencement of academic activities in September 2025.
“Let me assure you that Rivers State Government will stand as a dependable partner to the Federal University of Environment and Technology. We see this university as part of our long-term investment in knowledge, innovation, and the future of our youths,” he emphasized.
In his remarks, the Pro-Chancellor and Chairman of the Governing Council, Professor Don Baridam, reaffirmed the university’s commitment to academic excellence, innovation, and community development.
He disclosed that the Federal Government has directed the institution to formally commence its academic session in September 2025, adding that preparations are in full swing to ensure a smooth take-off with adequate infrastructure and resources in place.
“Today’s meeting marks the beginning of a strategic partnership between the Rivers State Government and FUET, envisioned to establish the university as a premier hub for research, innovation, and sustainable development in the Niger Delta”, he said.