▪︎As Okadigbo digs in her feet amid restraint by board members
▪︎Board writes Buhari for advice on next step to take
The Board of the Nigerian National Petroleum Company Limited (NNPCL) is in a quandary over the Federal High Court judgment that reinstated Senator Ifeanyi Godwin Araraume as non-executive chairman.
As it is, the Board cannot hold meetings or take decisions that are binding or enforceable in the period that the execution of the judgment has yet to be stayed by a court that is robed with the jurisdiction to do so.
Araraume, who was named as a director and simultaneously appointed as the non-executive chairman in October 2021 by President Muhammadu Buhari, was removed in January 2022 by the president without following the due process as circumscribed in the Petroleum Industry Act (PIA) 2021, the Company and Allied Matters Act (CAMA) 2020 and the Memorandum and Articles of Association of the NNPCL.
Justice Inyang Ekwo had on April 18, 2023 voided the removal of Araraume, saying the decision by President Buhari to remove him without complying with the strict provisions of Article 21.3 and 21.4 of the Articles of Association of the NNPCL, Section 63 (3) of the PIA 2021 and Section 288 of the CAMA 2020 was “wrongful, illegal, null, void and of no legal consequence whatsoever.”
THE CONCLAVE reports that the Presidency had, in a statement issued on April 19, 2023 by presidential spokesperson, Femi Adesina, indicated it would appeal the judgment. Adesina was quoted to have stated the position of the President that due judicial process would be followed, pointing out that ‘NNPCL has already taken steps to go on appeal.”
According to him, “The administration respects the rule of law, and nothing will be done outside it to resolve the matter.”
THE CONCLAVE reports that ten days after the historic judgment, steps have yet to be taken to comply with it, just as credible pieces of information have indicated that the defendants in the suit, namely: President Buhari (1st Defendant), NNPCL (2nd Defendant) and Corporate Affairs Commission (3rd Defendant) have not filed a stay of execution of the judgment.
Although, it could not be confirmed as of press time if any of the defendants had filed a notice of appeal, the preponderant position of the law is that notice of appeal does not constitute a stay of execution.
THE CONCLAVE reports that this is what has put the board of the NNPCL in a bind as it has become constrained to carry on with its responsibilities in the face of the court judgment that has effectively removed the Board chairman, Senator Margery Okadigbo.
Sources close to the NNPCL Board hinted THE CONCLAVE that the Board has resolved to obey the court judgment in the absence of a stay of execution by the court and has advised Senator Okadigbo to step aside until there is a stay of execution of the judgment.
Feelers from the NNPCL Board indicated that a majority of the members are comfortable with the court judgment and want it obeyed so that the Board can put the distraction behind and move on with its responsibilities in accordance with the provisions of the extant laws and its Memorandum and Articles of Association.
THE CONCLAVE also reports that the NNPCL Board had formally sent a memo to President Buhari, briefing him on the court judgment and current state of affairs in the Board.
A source hinted that the president was expected to forward the memo to the Minister of Justice and Attorney General of the Federation, Abubakar Malami (SAN) for his legal opinion and advice.
As the development is unfolding, the International Community, especially the International oil Companies (IOCs), is closely watching to enable an assessment of Nigeria’s commitment to obeying its own laws and follow due process in the operations of the critical oil sector.
Meanwhile, Senator Okadigbo, according to available information, has been forced by members of the Board to “recuse” herself from functioning as the Board chairman, even though she remains a member of the Board as a director from which she was appointed as non-executive chairman to replace Araraume in the aftermath of his illegal removal.
Recall that a number of Civil Society Organisations had called on President Buhari to take steps to give effect to the court judgment voiding the illegal removal of Araraume.
The Amalgamated Arewa Youth Groups (AAYG) at a press conference in Kaduna last Monday called on parties to the court suit filed by Araraume through an originating summons to respect the judgment that restored Araraume to his position as the non-executive chairman of the Board of the NNPCL.
The group said that obeying the court judgment would strengthen the rule of law in Nigeria and restore the confidence of the international community in the nation’s justice system.
Justice Now Coalition had also called on the federal government to give effect to the judgment instead of dilating the process by appealing the judgment at the courts upstairs. The group in a statement by its National Convener, Comrade Tony Erha, appealed to the President to take the window of opportunity provided by the Federal High Court judgment to correct the mischief of the illegal removal of Araraume and put an end to the issue one and for all.
The group advised that since it is a family matter, steps should be taken to resolve contending issues post litigation in-house in the national interest as a delay in obeying the court judgment or mismanagement of it through a dilatory appeal process could further erode the confidence of the International Oil Companies (IOCs) in the NNPCL’s capacity to obey the laws that circumscribe operations and business transactions in the nation’s oil sector. It warned that that perception would be retrogressive and not salutary to the image of the company.
On its part, Human Rights Writers Association of Nigeria (HURIWA) in a statement by its National Coordinator, Emmanuel Onwubiko, said that President Buhari had the obligatory responsibility to obey the court judgment that reinstated Araraume to the NNPCL Board chair, advising that the president should not deceived into seeing Araraume’s victory as a defeat in a fight against him. The group maintained that rather, it should be seen as victory for the rule of law, which has helped to enrich the nation’s jurisprudence.
Stay ahead with the latest updates! Join The ConclaveNG on WhatsApp and Telegram for real-time news alerts, breaking stories, and exclusive content delivered straight to your phone. Don’t miss a headline — subscribe now!
