Appeal reinstatement of Ararume as NNPCL Non-Executive chair – Group urges FG
By Chima Azubuike
The Conference of Northern States Civil Society Networks on Monday urged the Federal Government to appeal the court decision reinstating Ifeanyi Ararume, as Nigeria National Petroleum Corporation Limited Non-Executive Chairman.
CONCISON a non-governmental, non-partisan, not-for-profit, non-ethnic and non-religious platform of civil society networks operating in the nineteen Northern states of Nigeria and the FCT, stated this through a press statement issued by its President Ibrahim Waiya.
Waiya expressed dismay over the court position which voided all resolutions of the board effective from 2022 to the time of judgement.
According to him, the court judgement was an affront to the President’s powers to hire and fire, stressing that such decisions required utmost caution.
The statement partly read, “The CONCISON wishes to express a deep concern over the recent court judgement that directed for the reinstatement of Senator Ifeanyi Ararume, as the Non-Executive Chairman of the Nigeria National Petroleum Corporation Limited and voiding all resolutions of the board effective from 2022 to date. While we recognise the powers of the judiciary to adjudicate on matters bordering on the rule of law, we are of the opinion that, this kind of sensitive matter ought to be treated with utmost caution, bearing in mind the collateral damage it might cause, and in the keen interest to uphold the corporate persona and integrity of the Nigerian State
“Similarly, we also find the court’s ruling rescinding the decision of the President to hire and fire an appointee to any official position, an affront to the President’s constitutional powers, even though this might be a subject of legal debate, and may as well generate many interpretations. We are however more concerned on the further provisions of the judgement, which set aside and render null and void all decisions and resolutions of the board since 2022. This has far-reaching implications for the corporation and, more importantly, for the national economy and the image of the Nigerian State
“The most disturbing implications of this ruling was how it systematically rendered all the contracts and agreements reached since January 2022 between the corporations and its partners, both local and international, null and void. This singular action has a glaring tendency to expose the corporation to potential breach of contract litigations, and may result in severe implications for the company, the Nigerian citizens and the entire oil sector which till date stands as the backbone of the Nigerian economy. Some of the sensitive resolutions and decisions of the Company that might be severely affected would include oil exploration works which already started in some States where oil was discovered, such as: Borno, Nasarawa and the rest. As a national oil company, the NNPCL is a key player in the Nigerian economy, and any disruptions to its operations could significantly affect the country’s GDP and overall economic stability.”
While decrying the impact of such decisions nulling and voiding past agreements, the group said it may not augur well for the country before her investors.
“Foreign investors may also lose confidence in the NNPCL and other Nigerian corporations if they perceive that contracts are not secured and legally immune to stand the test of any circumstances, to guarantee the protection of businesses, transactions and investments. It is our humble opinion that, this kind of judgement court may lead to a reduction in foreign investment, and shall invariably harm the country’s balance of trade, economic growth, and result in a significant waste of energy and resources, so far invested to entice for foreign investment as well as an increased risk of national embarrassment for the country. Furthermore, the nation should not forget in a hurry the process and industrial developments saga, wherein the Nation had to somehow manage to expend billions of naira to settle breach of contract cases filed against the nation.
“As members of the civil society, we are not in agreement with the court ruling, especially the parts which voided decisions of the NNPCL board since January 2022. We therefore urge the federal government to carefully analyze the impact of this decision on our economy and take the necessary steps to ensure that the integrity of the Nigerian State is not compromised. We believe that the decision of the court should not be interpreted to mean that a change in leadership in a government- owned corporation would always result in the nullification of all decisions taken by the board since the new appointment.
“The CONCISON is committed to the promotion of good governance and the rule of law in Nigeria. We call on all stakeholders, including the executives, the judiciary, and the private sector, to work together to ensure that the interests of the nation and its citizens are protected at all times. We remain committed to working with all stakeholders to promote good governance, transparency, and accountability in Nigeria,” Waiya added.
