News
Malabu Scam: FG Adds Negligence Claims to $875m JPMorgan Suit
The federal government has added negligence claims to its $875 million London lawsuit against JPMorgan, alleging that the the bank was “grossly negligent” when it purportedly ignored red flags and transferred state funds to Mr Dan Etete, its former oil minister, a convicted fraudster.
This disclosure was contained in the ruling of London’s high court last week.
The suit, filed in the English courts in 2017 relates to the purchase of the offshore OPL 245 oilfield in Nigeria by oil majors, Royal Dutch Shell and Eni in 2011, which is the subject of an ongoing trial in Milan.
The federal government had filed a claim against the US lender, accusing the bank of negligence in transferring funds from the disputed oilfield deal to a company controlled by Etete.
A spokeswoman for JP Morgan had dismissed the accusation, saying the firm “considers the allegations made in the claim to be unsubstantiated and without merit.”
At the core of the case is a $1.3 billion payment from Shell and Eni to secure the block that the lawsuit said was deposited into a federal government’s escrow account managed by JP Morgan.
The lawsuit said JP Morgan then received a request from the finance ministry to transfer more than $800 million of the funds to accounts controlled by the previous operator of the block, Malabu Oil and Gas, controlled by Etete.
The court papers also alleged that JP Morgan transferred the funds to two accounts controlled by Etete, without sufficient due diligence to make sure the money did not leave the accounts controlled by the federal government.
The court filing, made in London in November last year on behalf of Nigeria, said JP Morgan acted with gross negligence by allowing the transfer of the money without further checks.
It said JP Morgan should have known that under Nigerian law, the money should never have been transferred to an outside company.
“If the defendant acted with reasonable care and skill and/or conducted reasonable due diligence, it would or should have known or at least suspected … that it was being asked to transfer funds to third parties who were seeking to misappropriate the funds from the claimant and/or that there was a significant risk that this was the case,” the court filing said.
Reuters reported that the London court yesterday ruled that the six-week London trial will start on the first available date after November 1 next year, meaning that proceedings may not begin until 2022.
JP Morgan declined to comment yesterday.
But a lawyer for the American multinational investment bank, Rosalind Phelps, described the federal government’s suit against the bank as a claim with no real prospect of success.
The bank “had no duty to inquire into or investigate the validity or legality of the instructions it received
“The only allegation that’s left is one of negligence,” Phelps, had told the court.
As part of the proceedings, JP Morgan will also have to disclose within 21 days which individuals at the bank made the final decision to transfer the funds in question.
“Nigeria is pleased that JP Morgan has agreed it will now confirm all the senior figures at the bank who were involved,” Reuters quoted a spokesman for the Nigerian government on this case, as saying.
“This claim will move forward and Nigeria will hold JP Morgan accountable for its central role in the OPL 245 fraud,” the report said.
The damages sought by Nigeria include the monies allegedly sent to Etete, around $875 million paid out in three instalments, plus interest taking the total to $1.7 billion.
The decision is also likely to compel the bank to disclose details of its internal processes. JP Morgan sought to quash the case last year.
The Milan trial began in 2018.
In July 2020, Italian prosecutors asked a Milan court for Eni and Shell to be fined and some of their present and former executives, including Claudio Descalzi, Eni CEO, to be jailed.
They further requested Eni and Shell to be fined 900,000 euros ($1.06 million) each and sought to confiscate a total of $1.092 billion from all the defendants in the case, the equivalent of the bribes alleged to have been paid.
Final defence arguments from lawyers representing Shell, Eni and its executives are being made to the court.
The next hearing is scheduled for November 25.
News
SERAP Drags FG, Govs to ECOWAS Court over ‘Misuse of Cybercrimes Act’
Socio-Economic Rights and Accountability Project (SERAP), has filed a lawsuit against the Nigerian government the 36 states over the Cybercrimes (Amendment) Act 2024.
SERAP is arguing that “the repressive use of the Cybercrimes (Amendment) Act 2024 by the government to criminalize legitimate expression violate the human rights of Nigerians, including activists, journalists, bloggers and social media users”.
In a statement on Sunday, Kolawole Oluwadare, deputy director, SERAP, explained that the suit was filed to stop the Tinubu administration and Nigeria’s 36 governors from using the Cybercrimes (Amendment) Act 2024 to criminalize legitimate expression and punish Nigerians, including social media users.
He said: “Rather than using the amended legislation to make cyberspace and its users safer, Nigerian authorities are routinely weaponizing it to curb Nigerians’ human rights and media freedom.
“The suit no: ECW/CCJ/APP/03/2025 was filed last week before the ECOWAS Court in Abuja.”
Recall that Economic Community of West African States (ECOWAS) Court had on March 25, 2022, declared Section 24 of Nigeria’s original Cybercrimes Act 2015 as “arbitrary, vague, and repressive.”
The court ordered Nigeria to repeal the provision, citing non-compliance with human rights obligations under the African Charter on Human and Peoples’ Rights and the International Covenant on Civil and Political Rights.
Although the Cybercrimes (Amendment) Act 2024 repealed Section 24, the Socio-Economic Rights and Accountability Project (SERAP) argues that the reworded provisions still infringe upon freedom of expression and information.
SERAP’s concerns center around the ambiguity of “causing a breakdown of law and order” in Section 24(1)(b), which they believe threatens peaceful and legitimate expression and leaves room for abuse.
SERAP highlighted several instances where the law was allegedly misused to target government critics, including activist Dele Farotimi, journalist Agba Jalingo, and social media user Chioma Okoli.
The organization emphasized that the amended legislation has a chilling effect on human rights and media freedom.
SERAP stressed that the amended Act contravenes international human rights law, which requires restrictions on freedom of expression to serve a legitimate purpose and be strictly proportionate.
The organization seeks a declaration that Section 24 of the Cybercrimes (Amendment) Act 2024 is unlawful and an order directing the government to repeal or amend the legislation in compliance with international standards.
However, a hearing date has not been set for the suit.
News
GOCOP Applauds Edo Gov for Appointing Edomaruse, SA, Int’l Development
Guild of Corporate Online Publishers (GOCOP) has applauded Mr. Monday Okpebholo, Edo State governor, for the appointment of Mr. Collins Edomaruse as his Special Adviser, International Development Partners (IDP).
Ms Maureen Chigbo, president of GOCOP and publisher of RealNews Online, described Edomaruse’s appointment as a welcomed development.
Chigbo in a press statement by Ogbuefi Remmy Nweke, GOCOP Publicity Secretary, also congratulated Edomaruse for this appointment assuring of support from over 110 members of GOCOP in carrying out his duties.
Until his appointment, Edomaruse who is a founding member of GOCOP and the Secretary General of the body of reputed online publishers is also a member of the Nigerian Guild of Editors (NGE), among others.
Edomaruse doubles as the Publisher/Editor-in-Chief of METROWATCH, and has held several senior editorial management positions in THISDAY, including Group News Editor, Group Politics Editor, Deputy Editor, Daily, Saturday and Sunday titles respectively, as well as the Editor, Nation’s Capital/Abuja Bureau.
Also known as ‘General’ because of his mastery of the Defence Beat, his records in THISDAY have remained unbeaten, where he ranked the best among the editors.
News
NBS Website Still Down More than 3 Weeks after Cyber Attack
The website of the National Bureau of Statistics (NBS), www.nigerianstat.gov.ng, has remained offline for three weeks following a cyber attack that compromised its operations.
As at 12am today (Friday), attempts to access the site returned an error message, indicating the page is still inaccessible.
The breach was initially confirmed by the NBS on December 18, 2024, in an announcement made on social media platform X.
In the statement, the bureau urged the public to disregard any information published on its website until further notice, signaling ongoing efforts to recover from the attack.
The hacking incident occurred shortly after the NBS released its Crime Experience and Security Perception Survey on December 17, which revealed alarming statistics about crime in Nigeria.
The survey indicated that Nigerians paid a staggering N2.23 trillion in ransom over a year, from May 2023 to April 2024, and that 51.89 million crime incidents were reported across the country. The northwest region recorded the highest number of incidents, while the southeast had the least.
The day after the report’s publication, rumors surfaced that the Department of State Services (DSS) had summoned Adeniran Adeyemi, the Statistician-General of the Federation, for questioning regarding the survey. However, the NBS promptly denied these claims, clarifying that no such invitation or arrest had taken place.
Despite the confirmation of the hack, the NBS has not provided any additional updates on the restoration of its website or disclosed any developments regarding the breach.
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