The Osun State Government has filed an application to the Federal High Court, Lagos, to set aside an ex parte order that placed restrictions on its bank accounts over a $13.9m arbitration award in favour of Gamji Nigeria Company Limited. The government claims the order was obtained through deceit and substantial non-disclosure of material facts to the court. According to the government, the arbitration award it sought to enforce was also fraught with several irregularities.
The ex parte order was issued by Justice D.E. Osiagor on September 9, 2026, following an application filed by Gamji through its counsel, Yunus AbdulSalam (SAN). The Osun State Government, in a statement signed by the Commissioner for Information and Public Enlightenment, Kolapo Alimi, declared that the order was a product of deceit and that the arbitration award referenced does not exist. The government noted that the only arbitral award against the state government was in July 2026, and it is presently being challenged before the Lagos State High Court.
The Osun State Government's legal team had filed a suit to set aside the arbitral award at the Lagos State High Court on September 1, 2026, prior to Gamji's application to the Federal High Court. Alongside the originating motion, a motion on notice was equally filed to suspend the execution of the award until the suit is heard and determined. Both motions were duly served on Gamji and its counsel, who were fully aware that the award was being challenged by the state government.
Despite being served with the originating motion and motion on notice, Gamji Nigeria Company Limited approached the Federal High Court to enforce the award, failing to disclose that the validity of the award was being challenged at the Lagos State High Court. The government disclosed that when Gamji approached the Federal High Court, it did not reveal that it was served with an application to suspend any action aimed at executing the said award until the suit challenging the award was heard and determined.
The Osun State Government noted that the 2017 contract dispute started under the administration of ex-Governor Adegboyega Oyetola. The then administration denied a variation request by Gamji, particularly as it relates to whether the Osun State Government was indebted to Gamji Nigeria Company to the tune of $15,982,638.22 or not. The matter proceeded for arbitration, which the government claims was deliberately mismanaged and handled to favour Gamji Nigeria Company Limited.
The government further stated that the irregularities that characterised the arbitration proceedings and the final arbitral award are matters that have been submitted to the High Court sitting in Lagos State. A motion on notice to set aside the order of September 9 has been duly presented before the court, and the deceptive ploy of Gamji Nigeria Company Limited has been relayed to the Federal High Court.
Since the matter is still sub judice, the Osun State Government refrains from making any prejudicial comments on the merits of the case. The government reassured the public that necessary legal action had commenced to vacate the order and ensure the due rights of the state were observed by judicial review of the arbitration award. The case is ongoing, with the court yet to make a decision on the matter.
Key points
- The Osun State Government has filed an application to set aside the ex parte order that placed restrictions on its bank accounts over a $13.9m arbitration award.
- The government claims the order was obtained through deceit and substantial non-disclosure of material facts to the court.
- The arbitration award is being challenged by the state government before the Lagos State High Court.
