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Court sets aside order asking NGF to pay $47 million to firm

Chief Judge of the Federal High Court sitting in Abuja, Justice John Tsoho has set aside a judgement that sought to compel the Nigerian Governors’ Forum, to pay $47,821,920 to Panic Alert Security System.

The said amount according to the defendant, is contract fees for the review of a 16-page judgment in Suit No: FHC/ABJ/CS/130/2013, between LINAS INTERNATIONAL LTD & 235 ORS. V. FEDERAL GOVERNMENT OF NIGERIA & 3 ORS.

In an order dated September 20, 2022, Justice Tsoho set aside the consent judgment in Suit No: FHC/ABJ/CS/123/2018 in its entirety, the same having been entered without jurisdiction.

The judge ruled that reliefs claimed by PANIC ALERT SYSTEMS LTD. against the NGF were premised on a “simple contract which by Section 251 of the Constitution of the Federal Republic of Nigeria 1999 (as amended) strips the Court ab initio the required jurisdiction to entertain such matters. Accordingly, the Court set aside the consent judgment in Suit No: FHC/ABJ/CS/123/2018.”

Justice Tsoho ruled that in sum total, the purported consent judgment between PANIC ALERT SYSTEMS LTD. and the NGF has been set aside.

Consequently, the court directed that “all approvals by the Attorney-General of the Federation, the President, Minister of Finance, Accountant-General of the Federation, Debt-Management Office arising from, related to or concerning PANIC ALERT’S claims have collapsed.

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“All Promissory Notes, cheques or any financial instrument issued by the FGN in favour of PANIC ALERT stand nullified and cancelled and of no effect whatsoever”.

Recall that the security firm had filed an action for breach of contract against the NGF at the Federal High Court, Abuja on April 8, 2021.

However, the consent judgment arising from the suit did not award the said sum or any other sum to the security firm, but merely stated that PANIC ALERT will be referred to the Attorney General of the Federation for verification and settlement.

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