Court dismisses Fed Govt’s $110m suit against Agip over crude shipment

The Federal High Court in Lagos yesterday dismissed a suit by the Federal Government against the Nigeria Agip Oil Company Limited.

The plaintiff claimed $110 million from the respondent for allegedly under-declaring the volume of crude oil it shipped between January 2011 and December 2014.

The Federal Government accused Agip of short-changing it to the tune of $55 million.

It prayed the court to compel the oil firm to pay the $55 million with an annual interest of 21 per cent, as well as $55 million as exemplary damages.

But Agip denied the allegations and urged the court to dismiss the suit. In her verdict, Justice Mojisola Olatoregun held that the plaintiff failed to provide sufficient evidence to substantiate the claims.

She held that there was no evidence that the crude oil the defendant lifted was more than what was declared.

According to her, it is trite and settled law that he who asserts must prove.

She held that the exhibits before her did not convincingly show a shortfall in the shipment of 949,096 barrels of crude oil lifted by a vessel, MT Cosmos.

“While I do not have any evidence to suggest that it is impossible for the defendant to carry undeclared crude oil from Nigeria, I have no evidence to show that MT Cosmos carried the excess 500,000 barrels of crude oil with same bill of lading,” she said.

Justice Olatoregun said the plaintiff failed to prove its case by supplying the requisite evidence, adding that the main purpose of the final address was to assist the court.

“It is trite law that whoever asserts must prove that the facts exist. No amount of brilliant address can make up for a lack of evidence.

“The plaintiff failed to make out a case that 500,000 barrels of crude oil was offloaded in Pennsylvania, the United States of America (U.S.A). The case of the plaintiff fails on the lack of proof on the preponderance of evidence.

“At this stage, I do not find it necessary to proceed with the evaluation of the other reliefs. I, therefore, proceed to make an order dismissing this suit; it is hereby dismissed,” she said.

During trial, the plaintiff called one witness and tendered three exhibits, while the defendant also called one witness and tendered 12 exhibits.

The court also dismissed a similar suit against Brasoil, seeking to recover $4.8 million in alleged missing oil revenue.

Similar lawsuits against Total E&P Nigeria Plc and Chevron Nigeria Limited are pending before the court.