The Rivers State Governor, Nyesom Wike, was present at the State High Court for the hearing of the $190 power plant case, on Thursday.
The ongoing case marked PHC/3106/CR/2021 is between the state and a foreign firm, Saipem Contracting Nigeria Limited over alleged fraud concerning the Afam power plant project. The state claims that the contractor was fully paid under false assurances but did not execute the project, thereby leading to several damages.
The governor was accompanied by the National Vice Chairman of the Peoples Democratic Party in the South-South, Dan Obih; Rivers State Chairman of the PDP, Ambassador Desmond Akawor; former Senator Olaka Wogu and state Lawmaker, Smart Adoki, Channels Television reports.
The court was expected to hear the arguments on the preliminary objection raised by the defense counsel, as well as, begin hearing on the substantive suit brought by the Rivers State seeking the conviction of the defendants for the criminal offence of fraud.
During the court proceedings, the prosecution lawyer, Godwin Obla raised an argument that the company should be represented by another person other than its manager, because he would be standing trial for his personal culpability in the case.
The court, therefore, ruled that the parent company and its Nigeria subsidiary would be tried in absentia.
The fifth and seventh defendants whose warrant of arrest was issued earlier are also to be tried in absentia.
When the case came up for hearing yesterday, the court was confronted with an application for a preliminary objection by the counsel to the first, second, third, and sixth defendants, Odein Ajumogobia SAN, challenged the jurisdiction of the court and accused it of abuse of processes.
In an earlier report (Not the PUNCH) the Presiding Judge, Justice Okogbulo Gbasam had remanded the third defendant, Walter Peviani a foreign national who is the manager of Saipem Contracting Firm, and the fourth defendant, Kelechi Chinakwe, a Nigerian in January 2022.
the firm allegedly received an advance payment of $130 million from the state government, without meeting their contractual agreements.
It also reportedly obtained credit by false pretenses at different times to the approximate tune of $20m and N7.3b from the state government, which is contrary to Section 419A and punishable under Section 419 (A) (1) (b).
of the Criminal Justice Law 2015.
The state legal counsel also accused the firm of attempting to cheat the state in varying amounts, ranging from $15m, $97m, and $11m, contrary to
section 509, 518 (6), and section 421 and punishable under section 421, among other charges.
The state legal counsel claimed that the failure of the firm to execute the project made the firm abandon a gas turbine generator unit in Holland since 2012. It asserted that the government was paying demurrage as a result of their action.
This also led the judge to issue a warrant of arrest against the fifth and the seventh defendants, both of foreign national, for failing to appear in court after a reasonable adjournment to allow for constituted service of notice which he said was duly carried out.
Those remanded were, however, granted bail less than a week after they were remanded.
Copyright PUNCH.
All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from PUNCH.
Contact: [email protected]
