Court to hear suit against sale of NITEL, MTEL Jan 12

Federal High Court in Abuja has fixed January 12, 2015 for hearing in suit challenging the sale of Nigerian Telecommunications (NITEL) PLC and the Nigerian Mobile Telecommunications Limited (MTEL) to new private investors.

Justice Abdul Kafarati yesterday adjourned the suit due to the absence of the respondents in the matter.

Arabian Amlak For Investment Ltd has filed a motion on notice seeking for a restraining injunction to be issued by the court against the National Council on Privatization (NCP), the Bureau for Public Enterprises (BPE) and Otunba Olutola Sembore for breaching a requisition process for the national telecommunication carriers.

In the processes filed by its counsel Ola Olanipekun, Arabian Amlak Ltd is also praying for an order of interlocutory injunction restraining NCP and BPE from relating with Sembore as liquidator of the NITEL and MTEL and/or taking further steps in the liquidation process of both companies pending the determination of the substantive suit.

According to the affidavit by Mu’azu Omolari, the Chief Executive Officer of the infrastructure investment firm, the defendants had on November 16, 2011 issued it a letter of acknowledgement to acquire NITEL PLC in a ‘Willing Seller, Willing Buyer’ option at $850 million valuation of the assets of the company at the date.

Omolori further avers that it met the conditions and terms stipulated by NCP and BPE for the acquisition of NITEL including profile of technical partners, five years audited accounts, a Memorandum of Understanding, and statement of bank account at the National Republic Bank of Moscow, Russia only for it to learn that the defendants have appointed a new liquidator to “sale the assets of NITEL at any available price.”

He prays the court to halt the ongoing process of liquidation because the applicant has made irreversible commitments with both local and foreign partners, and assembled a consortium of technical, administrative and financial experts to begin the transformation of the services of NITEL and MTEL.