Taiwo Afolabi’s Sifax Group Wins Court Case Against Ownership Of Terminal C

Sifax Group owned by respected Nigerian, Mr Taiwo Afolabi has won the court case instituted against the company’s ownership of Terminal “C”, Tin Can Island Port, Apapa, Lagos.

The firm detailed how it recorded this feat on this statement made available to societynowng.com

‘We consider it very important that we clear the view on the “assumed” ambiguity that surrounds the ownership of Terminal “C”, Tin Can Island Port, Apapa, Lagos and the subsequent legal tussle that ensued since August 2006 on the ownership of the terminal.

It will be recalled that when the Federal Government of Nigeria decided to privatize
Taiwo Afolabi, Sifax Boss

the Nigerian ports in 2004/2005 for better efficiency and effectiveness, both foreign and indigenous firms bid for different ports. In the guidelines for these bids, a firm could bid jointly with other firms for a port and/or bid individually for other ports. On the strength of this, Sifax Nigeria Limited jointly bid for Terminal “A” in Port Harcourt, Rivers State under a consortium known as Ports and Terminal Operators Services Limited with Messrs. Sifax, Ekulo, Migfo and Denca as members. However, Sifax Nigeria Limited INDIVIDUALLY bid for Terminal “C” of Tin Can Island Port, Apapa, Lagos under a special purpose vehicle company known as Ports & Cargo Handling Services Limited (P&CHS) as required by the Bureau of Public Enterprises. Sifax eventually won the bid and commenced operation in May 2006.

No sooner had Sifax commenced operation of Terminal “C” of TCIP when Messrs. Migfo and Denca went to court to lay claims to being part owners of this terminal. By an Original Summons dated 9th August 2006, the duo instituted a case against Sifax Nigeria Limited and 3 others at the Federal High Court, Lagos. They relied on a non- existent joint venture agreement and a forged memorandum of understanding (MOU) purportedly entered by Denca, Migfo and Sifax sometimes in 2005. The said MOU is now a subject of investigation by the Special Fraud Unit of the Nigerian police.

At the Federal High Court, we argued that the court has no jurisdiction to entertain the case since it was not a maritime matter but a case based on simple contract. In the alternative, we argued that the case being highly contentious ought not to begin via Originating Summons but by way of Writ of Summons so that we can lead evidence. The Federal High Court threw out our argument and held that Terminal “C” TCIP was owned on 40%, 30% and 30% proportions by Sifax, Migfo and Denca. The same position was held by the Court of Appeal, Lagos’.