Lagos-Ibadan Expressway: Court sets aside infrastructure/motorways concession agreement - Uju Ayalogu's Blog for News, Reviews, Articles and More

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Monday, 14 December 2015

Lagos-Ibadan Expressway: Court sets aside infrastructure/motorways concession agreement

Lagos-Ibadan Expressway: Court sets aside infrastructure/motorways concession agreement

A Federal High Court sitting in Lagos south west Nigeria has set aside a new Concession Agreement on the Lagos-Ibadan Expressway reconstruction project.

While delivering his ruling in a suit filed by Bi-Courtney Highway Services Limited against the Attorney General of the Federation, the Federal Ministry of Works, the Infrastructure Concession Regulatory Commission (ICRC), the Infrastructure Bank Plc and Motorway Assets Limited (MAL) the court granted a mandatory injunction on the fresh concession agreement, purportedly signed by the defendants on January 16, 2015, as prayed by the plaintiff/applicant.

Among the prayers sought by Bi-Courtney in Suit No. FHC/L/CS/727/2015 was an Order of Mandatory Injunction setting aside the Concession Agreement granted MAL, over the Lagos-Ibadan Expressway in the form of a Finance, Operate and Transfer arrangement involving the Federal Authorities.

The Court held that the grant of the Concession to MAL in the circumstances of the case was a flagrant disregard of the established principles of law.

Bi-Courtney also sought in its application an injunction restraining all the defendants particularly the Attorney General of the Federation, the Federal Ministry of Works, the infrastructure concession regulatory commission bank and Motor way Assets Limited from implementing, giving effect to, actualizing, operating or, taking any steps or actions whatsoever in furtherance of, or pursuant to, the Concession Agreement dated 16th January 2015, between the 1st, 2nd and the 5th Defendants/Respondents, which purports to grant a concession over the Lagos-Ibadan Expressway in the form of a Finance, Operate and Transfer arrangement to the Motor Way Asset Limited pending the hearing and determination of the substantive suit pending before the court.

Before delivering the ruling, the defendants sought to prevent the court from delivering the said ruling by filing an application in court.

The Court refused the attempt to arrest its ruling and proceeded to deliver the said ruling and granted “an order of mandatory injunctio setting aside the Concession Agreement dated 16th January 2015 between the 1st, 2nd and the 5th Defendants/Respondents, which purports to grant a concession over the Lagos-Ibadan Expressway in the form of a Finance, Operate and Transfer arrangement to the 5th Defendant.”

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