Business
Chinese Firm to Sell Seized Nigerian Properties on eBay Over $70 Million Debt
A Chinese investment group is moving forward with plans to sell two residential properties seized from Nigeria to recover up to $70 million in arbitration awards. The properties are set to be listed for sale on the global online marketplace eBay, according to sources familiar with the situation, as reported by Peoples Gazette.
Zhongshang Fucheng Industrial Investment Ltd. took control of the two buildings, located at 15 Aigburth Hall Road and Beech Lodge, 49 Calderstones Road, in Liverpool, United Kingdom, in June 2024.
This action came after Nigeria failed to comply with a 2021 arbitration ruling. A British court order from December 2021 granted Zhongshang the authority to seize Nigerian assets in the UK to recover the unpaid $70 million, which continues to accrue two per cent monthly interest.
The arbitration award, handed down on March 26, 2021, granted Zhongshang $55.7 million in damages, an additional $9.4 million in interest, and £2.86 million in legal costs.
The case arose from a dispute with Ogun State, which Zhongshang claimed violated a 2001 trade agreement between Nigeria and China when it rescinded the company’s rights to a free trade zone in 2016.
Zhongshang initiated arbitration proceedings against Nigeria in 2018, alleging that the Nigerian government used its federal agencies, such as the police and immigration, to assist Ogun State in the matter without proper legal procedures.
Court documents further reveal that two Zhongshang executives were expelled from Nigeria in 2016, with one reportedly detained and tortured by police.
This case has once again put Nigeria under the spotlight, coming on the heels of a near-disastrous $11 billion arbitration ruling in the P&ID case, which was overturned after evidence of corruption was discovered.
However, the Zhongshang case has proceeded differently, with enforcement orders already granted by European courts in the UK, Belgium, France, and other countries.
Nigerian-owned assets, including jets, are now being tracked for potential seizure. Recently, a U.S. appellate court denied Nigeria’s request for sovereign immunity in the case.
A consultant working with Zhongshang disclosed that plans are underway to list the two Liverpool properties for sale, with an estimated value of around $2.2 million for both.
“They’re considering platforms like eBay to attract buyers more quickly,” the consultant shared, speaking anonymously.
Although these properties belong to Nigeria, they were seized because they weren’t classified as diplomatic or consular assets.
Court documents indicate that they were being leased to tenants unaffiliated with Nigeria’s diplomatic mission. A senior judge confirmed that Nigerian officials had been renting out the properties to private tenants.
In her June 14, 2024 ruling, Master Lisa Sullivan of the UK High Court’s King’s Bench Division stated, “The properties are currently used for leases to residential tenants unconnected with Nigeria and its mission.
Those are commercial purposes for s13(4) of the SIA and therefore the enforcement against the properties is not barred by state immunity.”
Zhongshang has promised transparency in the sale of the properties, citing the public’s interest in how recovered assets are being handled until the full debt is repaid.
It has been noted that the National Youth Service Corps (NYSC) and British American Tobacco Nigeria Foundation (BATNF) plan to renew their partnership in agribusiness.
The new project is to involve youth in the agriculture business, widen their horizons, and educate them about the agritech sector.
The general manager shared that “The foundation is not only providing grants but also building a system of mentorship, structure, and support that enables corps members to see agribusiness as a serious enterprise pathway.” The plan is to use the NYSC platform to engage youths.
Idi Mukhtar Maiha, Minister of Livestock Development, has revealed the government’s intention of placing women in the livestock transformation agenda that they have in store for Nigeria.
During a recent event, he praised women, describing them as the backbone of the country, and shared that the country will keep on needing their support, hence the inclusion of the agenda team.
He also praised the First Lady for the impact she has made in the country so far and her advocacy for women’s empowerment.
Nigerians react as a user claims and shares that the price of rice in Nigeria is already reducing.
“Rice prices are finally dropping, minimum wage can buy a bag now. Step by step, we’re getting there. Nigeria will work in our lifetime.”
It can be noted that rice was sold at ₦85k to ₦90k, however, according to a market survey, the price of rice has dropped to ₦56k to ₦62k.
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