The Federal High Court sitting in Abuja has granted Dantata & Sawoe Construction Company Limited and Zutari Consulting Nigeria Ltd a 21-day extension to settle issues concerning the alleged $1,257,592.83 debt owed to the latter following subcontract work on the Dangote Fertilizer Plant project in Lekki, Lagos, Nigeria.
Justice Inyang Ekwo fixed the new date on Wednesday after hearing from the legal teams of both parties.
Nairametrics previously reported that after granting the parties a 30-day extension for settlement in September 2024, the court later fixed February 26, 2025, to hear Zutari Consulting’s motion seeking the court’s appointment of a provisional liquidator for Dantata & Sawoe Construction Company Nigeria Limited over the alleged $1,257,592.83 debt.
The adjournment comes months after the judge approved the placement of a winding-up petition advertisement against Dantata in a motion on notice filed by Zutari Consulting Nigeria Ltd (the petitioner) in Suit No: FHC/ABJ/PET/3/2023.
What Transpired in Court
Nairametrics reports that the petitioner is engaged in engineering design, consulting, and supervision of engineering works, while Dantata & Sawoe is a leading general construction company in Nigeria with over 40 years of experience.
The petitioner stated that arbitration over the matter was held in London, United Kingdom, and a final arbitral award was issued by the arbitration tribunal on April 7, 2021, finding that Dantata & Sawoe was liable to the applicant for the stated debt.
However, in a notice of preliminary objection filed on May 9, 2023, Dantata’s legal team urged the court to strike out the petition.
At the resumed proceedings on Wednesday, Zutari Consulting’s counsel, Felicia I. Okam, Esq., informed the judge that although the court had adjourned the matter for a hearing on liquidation proceedings, both parties were still engaged in settlement discussions.
“However, the parties are in discussions, and we would like to take a further date to see whether they can reach a settlement,” the lawyer said.
Dantata’s lawyer, Ofem Obeten, corroborated the petitioner’s submission to the judge, stating, “That is the position.”
Okam then requested an adjournment for either a settlement report or a hearing.
The judge adjourned the case until March 18, 2025, for either a settlement report or a hearing of the petitioner’s motion.
What You Should Know: Nairametrics also gathered that an appeal on the matter is pending at the Court of Appeal. Additionally, Nairametrics reports that the Federal High Court has jurisdiction over transactions involving both parties. The court will examine the legal position in determining the final outcome of the case.
