Malami Denies US Court’s $6.59bn Default Judgment against Nigeria

The Attorney-General of the Federation and Minister of Justice, Mr. Abubakar Malami has denied media reports that a United States District Court granted $6.59 billion arbitral judgment against Nigeria.

A default judgment is delivered when a party in a suit fails to defend his case.

Malami said in a statement signed by the Solicitor-General of the Federation and Permanent Secretary of the Federal Ministry of Justice, Mr. Dayo Apata, that no such award was made in favour of P&ID and against the federal government as reported.

The statement said, “The ministry wishes to state categorically that no default judgment was entered against Nigeria in the enforcement proceedings by P & ID. The federal government through its foreign solicitors, Messrs. Curtis, Mallet-Prevost, Colt & Mosle LLP, has commenced the process of challenging and defending the enforcement proceedings.

“It needs to be stated that what is being taunted as a default judgment was actually a default entry made by the Court Clerk.

“Under the Foreign Sovereign Immunities Act, a defendant has up to 60 days period to answer to a petition filed against it.

“Where no response is entered for the defendant, the Court Clerk upon application by the petitioner makes a default entry, which in this case was made on June 5, 2018.

“It is to be noted that under the FSIA, a default judgment cannot be entered against a foreign State like Nigeria unless the presiding judge determines so after the petitioner/claimant must have established its entitlement to a default judgment,” he said.