The Federal Government has been urged to be wary of an ongoing N300million arbitration proceeding initiated against Nigeria before the International Chamber of Commerce (ICC), Paris, France.
According to an Abuja-based firm, Jonahcapital Nigeria Limited, the proceeding bears a pattern similar to a scheme designed to defraud the country of huge funds over alleged spurious investment claims that were never made in the country.
Jonahcapital Nigeria’s observations are contained in two letters it wrote to the Minister of the Federal Capital Territory (FCT) and the Chairman of the Economic and Financial Crimes Commission (EFCC).
The firm, while accusing one of its former shareholders of being behind the case before the ICC, urged the relevant FG agencies to act promptly to avert a recurrence of the notorious Process and Industrial Development (P and ID) case.
It stated that the ‘proceeding purportedly commenced by Jonahcapital Nigeria Limited against the Federal Government of Nigeria, is at first glance, a blatant attempt to defraud the Federal Government of Nigeria by foreign actors, who have no right whatsoever to make the claim they are making on behalf of the company.’
In the letter to the FCT Minister, signed by two directors of the firm – Dr. Adeniran Ogunmuyiwa and Olakiitan Ogunmuyiwa – and dated, August 10, it was alleged among others, that those behind the ICC case were making false claims of $300m investment in a real estate project in the FCT, identified as Rivers Park Estate, Lugbe.
The two directors stated that the claim in arbitral proceedings ongoing before the ICC, that their firm (JonahCapital Nigeria) provided infrastructure worth over $300m in River Park Estate is a clear fraud because ‘as a company, JonahCapital Nigeria, in all its existence never provided any infrastructure or funding towards the development of River Park Estate.’
They added that the infrastructure in River Park Estate was funded by Paulo Homes Limited, with whom they had an agreement to fund the project’s development.
The directors urged the FCT Minister ‘to resist and refer the claim of the purported JonahCapital Nigeria Limited, providing any form of infrastructure whatsoever either by the Nigerian or Ghanaian faction as it is today, to relevant law enforcement agencies.
‘This is to avoid fallen prey to some internationally contrived fraudsters whose only agenda is to defraud the Federal Government of Nigeria (i.e Federal Capital Development Authority).’
The letter to the EFCC Chairman, dated, August 11, was written on behalf of the firm by its lawyer, Oluwabunmi Adebiyi, who recalled how Dr. Ogunmuyiwa incorporated Jonahcapital Nigeria around 2007 with himself and his wife as the directors.
Adebiyi said the firm subsequently entered into a Development Lease Agreement with the FCDA for the development of Plot 4, Cadastral Zone E30, Lugbe West, Abuja, now known as River Park Estate.
He accused those behind the ICC case of allegedly engaging in ‘impersonation, fraud, false representations and an apparent attempt to unlawfully acquire and appropriate substantial economic interests connected to the River Park Estate Project.
‘The circumstances are particularly grave because the acts complained of have now extended beyond the internal affairs of JonahCapital Nigeria Limited and have culminated in representations allegedly being made in arbitral proceedings before the ICC.
‘Our clients state that these claims are false and forms part of a deliberate scheme to create a fictitious history of ownership, investment and entitlement to the project, with the ultimate objective of securing an arbitral award or other legal recognition capable of conferring substantial proprietary and financial benefits upon persons who have no legitimate entitlement whatsoever, to the potential prejudice of our clients and the interests of the Government of the Federal Republic of Nigeria,’ Adebiyi said.