Chinese Firm To Put 2 Seized Nigerian Liverpool Properties For Sale On eBay

2 months ago 6

A Chinese investment group which is in a hurry to claim up to $70 million in arbitration awards from Nigeria, has finalised its decision to put two residential properties confiscated from the country up for sale on the worldwide online platform eBay.

This information was shared with Peoples Gazette by individuals familiar with the situation.

LEADERSHIP understands that the Zhongshang Fucheng Industrial Investment Ltd took possession of the two buildings linked to the Nigerian government in Liverpool, United Kingdom, in June 2024, years after Nigeria failed to settle an arbitration judgment handed down in 2021.

The properties located at 15, Aigburth Hall Road, and Beech Lodge, 49, Calderstones Road, Liverpool, were targeted after a December 2021 British Court order gave Zhongshang executives the power to seize Nigerian assets in the UK to retrieve the $70 million payment, which remained outstanding as of August 20, 2024, with two percent monthly interest accruals.

Zhongshang was awarded $55,675,000 plus interest of $9,400,000 and costs of £2,864,445 as of the date of the arbitration verdict on March 26, 2021, court documents said.

The case stemmed from a dispute between Zhongshang and Ogun State.

The firm said the state violated a 2001 trade treaty between Nigeria and China when its rights to a free trade zone were rescinded in 2016.

The company dragged Nigeria before the arbitration panel in the UK in 2018, alleging that Nigeria allowed its federal organs like the police, immigration, and export processing authority to be deployed by Ogun State without due process.

Court documents indicate that two Zhongshang executives were expelled from Nigeria between mid and late 2016 after one of them had allegedly been detained and tortured by the police.

The case had thrown Nigeria into confusion, barely months after the country luckily escaped a similar arbitration decision that awarded over $11 billion to a consortium called P&ID.

The arbitration verdict was thrown out after it was later discovered that P&ID owners were involved in bribery and corruption.

However, the Zhongshang case appeared different, with several European courts already granted enforcement orders in the UK, Belgium, France and other countries, where Nigerian-owned jets and other assets are being tracked down.

An appellate panel recently declined to grant Nigeria sovereign immunity protection over Zhongshang’s recovery efforts in the United States.

A consultant working with Zhongshang revealed that the company has been working to put the two Liverpool houses up for sale on eBay, where the source said up to $2.2 million would be asked for both.

“They said the value of both properties should be around $2.2 million, so they already put together a plan to sell them to willing buyers,” the consultant said under anonymity to discuss client deliberations. “Some websites like eBay might bring buyers faster than other methods.”

Though the properties belonged to Nigeria, they were seized because they were not listed as Nigerian diplomatic or consular assets.

LEADERSHIP understands that those currently occupying the properties had no ties to the Nigerian mission in the UK.

It was however unclear when Nigeria bought the assets, but a senior judge said its officials had regularly rented out both places to guests.

In her June 14, 2024, court ruling which allowed Zhongshang to seize the buildings from Nigeria, Master Lisa Sullivan of the UK High Court, King’s Bench Division, said, “The properties are currently used for the purpose of leases to residential tenants unconnected with Nigeria and its mission. Those are commercial purposes for the purpose of s13(4) of the SIA and therefore the enforcement against the properties is not barred by state immunity.”

The source stated that the sale would not be conducted covertly as the Nigerian citizens should be informed about the exact value of all recuperated assets until the total sum has been retrieved.

“Zhongshang promised to be transparent with the sale because of the keen public interest of Nigerians in the matter,” the consultant added.

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