In a bid to escape liquidation following a recent order of the Federal High Court, Abuja, Dantata & Sawoe Construction Company Limited has hurriedly paid in full the $1.4 million settlement agreement covering a $1,257,592.83 debt owed to Zutari Consulting Nigeria Ltd for subcontract work on the Dangote Fertilizer Plant project in Lekki, Lagos.
The full payment was disclosed in its motion on notice filed before the court on December 4, 2025, and seen by Nairametrics.
This development comes just a day after Nairametrics reported that Justice Mohammed Umar granted Zutari Consulting’s request for the appointment of a liquidator, noting that Dantata & Sawoe had been given ample time to settle the debt but repeatedly presented excuses.
It also comes months after the court approved the publication of a winding-up petition in two national daily newspapers.
Zutari Consulting is involved in engineering design, consulting, and supervision of engineering works, while Dantata & Sawoe has been engaged in general construction services for over three decades.
What Dantata & Sawoe Is Now Telling the Court
Citing grounds for the application, Dantata & Sawoe’s lawyer, I. Otim, admitted that the court had appointed liquidators on the basis that the company had been unable to pay its arbitral award debt.
- He added, however, that his client “has paid the debt arbitral award to the petitioner in this matter,” and argued that there is now a need to stay execution of the court’s orders or discharge the orders made on December 3, 2025.
- He further stated that his client has filed an appeal and that continued execution of the trial court’s orders may foist a fait accompli ( irreversible accomplished fact) on the pending appeal.
The applicant also undertook to provide security for costs.
Reliefs Sought by the Applicant Include:
- An order staying execution of the court’s order made on Wednesday, December 3, 2025, pending the hearing and determination of the appeal filed against the orders in this petition.
- An order vacating or discharging the orders appointing liquidators for the applicant made on December 3, 2025.
- Additionally, the Head of Litigation and Insurance for Dantata & Sawoe, John Dalam, disclosed through his affidavit that several credit transfers were made to Zutari Consulting to support the company’s claim of full payment.
“The debit alerts showing the payments of the arbitral award sum are attached here as Exhibit D2 series,” he added.
- He stressed that further execution of the liquidation order would cause irreparable harm to the company and that it is in the interest of justice for the court to grant a stay of execution.
Why This Matters
Following this development, the court that issued the liquidation order will likely fix a date to hear legal arguments from both Dantata & Sawoe and Zutari Consulting.
It is now left for the trial court to rule on the matter based on the evidence and arguments presented by both parties.
If the application is granted, the liquidation moves against Dantata and Sawoe may likely be put on hold pending the decision of the Appeal Court.
Liquidation Legal Disputes
Last year, Nairametrics reported that the court granted the parties a 30-day extension for settlement and adjourned the matter several times to hear Zutari Consulting’s motion seeking the appointment of a provisional liquidator over the alleged debt.
Zutari Consulting’s lawyer, Chris Ekemezie, stated that arbitration was conducted in London, United Kingdom, and that a final arbitral award issued on April 7, 2021 held Dantata & Sawoe liable for the debt.
He added that the petitioner was engaged by the respondent in 2015 to execute design components of subcontract works at the Dangote Fertilizer Plant project in Lekki.
They contended that after completing the job, Dantata & Sawoe became indebted to them in the sums of $1,257,592.83, ZAR 2,136,623.39, and £4,364.38.
He argued that the respondent’s failure to pay the outstanding amount led to a dispute that was referred to the International Chamber of Commerce for arbitration after both parties failed to resolve it. The tribunal ruled in the petitioner’s favour.
However, in a preliminary objection filed on May 9, 2023, Dantata & Sawoe’s legal team urged the court to strike out the petition for lack of jurisdiction, informing the court that an appeal had been filed amid ongoing settlement talks.
Nairametrics reports that the case has witnessed several adjournments.
At last Wednesday’s proceedings, the petitioner informed the court that the respondent had failed to fully settle the debt, noting that the client’s entitlements were far above the 75% payment proposed by Dantata & Sawoe.
Dantata & Sawoe’s legal team maintained that they offered to pay 75% of the debt, but the consulting firm rejected it.
After hearing both parties, the judge held that the case had been adjourned three times to allow the respondent to settle the debt, yet they kept returning with excuses.
The court noted the company’s unwillingness to pay and granted the petitioner’s request to appoint Joseph Abiolu, FCA, as liquidator to wind up the company in line with Sections 571(d), 572, and 573(1)(b) of the Companies and Allied Matters Act (CAMA) 2020.
The case was adjourned to February 18, 2026, for the liquidator’s report.
What You Should Know
An appeal on the matter is pending at the Court of Appeal.
The Federal High Court has jurisdiction over the transactions involving both parties.
The courts will evaluate the legal issues in determining the final outcome of the case.
