Don't Miss


Home   >   Business   >   BFIG set for showdown with RUSAL over $502 million compensation for ALSCON

BFIG set for showdown with RUSAL over $502 million compensation for ALSCON

By on January 30, 2013

Irene Chigbue

The battle over what should be one of the Biggest Aluminium Smelter Companies in the Nation continues this time in a different level of ownership and compensation between a Russian Group, RUSAL and an American Group BFIG.

This time, after the Federal Government has decided to act on the July 2012 ruling of the Supreme Court to handover ALSCON to the rightful winners of the bid BFIG, the attempt by RUSAL to seek $502 million from their rivals has hit the rocks.

It would be recalled that during the televised bid for the Aluminium Smelter Company of Nigeria (Ikot Abasi) in 2003 conducted by the Irene-Chigbue led Bureau of Public Enterprises (BPE), the California based BFIG won the bid ahead of their Russian counterparts.

But to the surprise and derision of many, Aso Rock then used its power to perform a backdoor policy of eventually handing over the Company to RUSAL, and this did not deter BFIG as they went to court since then pushing their case for justice.

After years of Resilience and determination to fight their cause, the Supreme Court of the Federal Republic of Nigeria finally made a heroic decision in favour of the BFIG, revoking the rights of RUSAL over the company .

This decision finally laid to rest the inefficiency and mismanagement process of the privatization of the Company by the Obasanjo/Atiku administration , responsible according to former BPE Director General Mallam Nasir El-Rufai for the failure of commercialization of industries in Nigeria.

Meanwhile, the BFIG in a statement by its official said it will not pay anything above the $401 million that the Supreme Court asked it to pay for the taking over of operations at the Aluminium Smelter Company, the top member of the BFIG management who pleaded anonymity said that RUSAL had no right to claim for compensation.