The management of Nigeria Liquefied Natural Gas, NLNG Limited on Monday issued a demand notice for $315,598,823.29 judgment debt to the Nigerian Maritime Administration and Safety Agency, NIMASA.
The NLNG said in a statement that the sum represented the payments it made under protest to the agency since 2013, as well as direct and shipping losses it incurred due to the initial two-day blockade of the Bonny Channel by NIMASA in May 2013.
It said the development followed the decision on October 3, 2017 by the Federal High Court, Lagos that the NLNG was not liable to make the said payments to NIMASA, and that all such payments already made by it to NIMASA should be repaid forthwith.
The firm stated that the court, presided over by Justice Mohammed Idris, further held that NIMASA was wrong in blockading the Bonny Channel for the purpose of enforcing the payments against the NLNG.
However, TheNewsGuru.com reports that on the day the judgment was given, the Director General of NIMASA, Dr Dakuku Peterside expressed the agency’s dissatisfaction with the decision of Justice Idris.
A statement by the agency’s spokesman, Isichei Osamgbi, said: “Consequently, Dr Dakuku has stated the management’s intention to appeal the judgment. The agency’s legal team are waiting for the certified true copy of the judgment, which we will study and respond as appropriate.”
The problem predated Peterside. It started in 2013 when the agency requested the NLNG to pay all statutory levies accruable to the agency, including the 3% levy on gross freight on inbound and outbound international cargo, 2% Cabotage levy and Sea Protection levy. NIMASA insisted that the NLNG was not exempted from payments of statutory levies after its tax holiday ended.
“NIMASA has portfolios of statutory revenues that it collects from shipping companies/ship operators, manning agents and seafarers. This the agency pays into the coffers of the government. It is within these funds generated that the agency uses to develop and police the maritime sector. NIMASA does not receive any government allocations,” the agency said in the statement.
But the General Manager, External Relations, NLNG, Dr. Kudo Eresia-Eke, said, “The Federal High Court ruling transcends being simply a legal victory for the NLNG. It must be viewed for what it really is: A resounding message from Nigeria to the global investment community.
“The message is that we can be trusted to keep our sovereign word and that Nigeria remains open for business, partnership and investments,” the NLNG boss said.