The Federal High Court in Lokoja, Kogi State, has ordered Dangote Group Plc and three of its subsidiaries to pay N2,697,125,000 to a mining firm over breach of contract.

The other subsidiaries are Dangote Cement Plc, Obajana Cement Plc, and Dangote Industries Plc.

Justice Phoebe Ayua made the order in a judgment on a suit filed in 2014 by a mining company, Quest Two Enterprises Ltd and its Chief Executive Officer, Sir Paul Akanegbu.

The plaintiffs claimed various sums for breach of contract, special damages and specific performance of Dangote’s obligations contained in two Memoranda of Understanding dated January 2, 2014 and February 10, 2014.

Dangote had counterclaimed for N3billion, stating that the plaintiffs’ action in constructing and erecting electricity poles and other structures amounted to trespass on their mining lease area.

The court dismissed their counterclaim. The judge noting that during trial, Dangote’s sole witness, the group’s General Manager Mr Victor Mohan, admitted under cross-examination that his employers, with a promise of paying compensation, had dismantled the plaintiff’s 33KVA power lines, an act which shut down the plaintiffs’ mining operations since 2014.

The judge held that the defendants failed to pay any compensation to the plaintiffs.

Lagos lawyer, Pius Ugochukwu Nnoli represented the Plaintiffs; Noah Abdul from the firm of O. J. Onoja (SAN) represented the defendants.

The court, following a motion filed by the judgment-creditor for enforcement of the judgment, has also granted a Garnishee Order Nisi against 21 banks where the judgement-debtors may have funds for attachment to satisfy the judgment debt.

But, Dangote Group’s defence team have filed a Notice of Appeal at the Court of Appeal, Abuja Division.

They have also brought an application before the lower court for stay of execution of the judgment.

The application will come up on January 9 next year.


12 December, 2017


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