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Court refuses to reverse order stopping payments of $418m Paris Club debts

The Federal High Court in Abuja, on Tuesday, refused to vacate its order restraining the federal government from deducting monies accruing to the 36 states from federation account to settle $418 million judgment debt in relation to Paris Club refund.

The presiding judge, Justice Iyang Ekwo, who declined to grant the plea by counsel for the defendants, however adjourned the matter till December 13.

The judge said he preferred to hear all pending applications, including the one by the defendants challenging the order, on the next hearing date.

The court had also ruled that the restraining order would subsist pending the determination of the substantive suit.

The case, which was initiated by the 36 states Attorneys- Generals on October 27, listed the Attorney-General of the Federation (AGF), Accountant-General of the Federation and Ministry of Finance, as well as Central Bank of Nigeria, Debt Management Office, Federation Account Allocation Committee, Incorporated Trustees of Association of Local Government of Nigeria (ALGON), among others as defendants.

At the resumed hearing, counsel to the plaintiffs, counsel for one of the plaintiff, Mr Okutekpa, told the court that the matter was slated for hearing.

He told the court that though most of the defendants had responded by serving on them various applications, the 9th defendant Dr Chris Asoluka, who does business under the name and style of NIPAL Consulting Network) had refused to receive their court processes.

“We have a motion ex-parte to serve the 9 defendant an originating process. The process dated Dec. 6 was filed on Dec 6 and it is praying for an order of substituted service on the 9th defendant,” he said.

The judge then granted prayer one of the motion and ordered that the service be made on the 9th defendant within three days through pasting of the notice on his address.

The lawyer told the court that the second motion was an application praying the court for an extension of time to file and serve their counter affidavit and all other processes in response to the defendants’ applications.

Justice Ekwo also granted prayer one of the motion and granted prayer two in part subject to the service of the motion on the two counsel who appeared for 15th, 16th, 10th and 11th defendants.

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