Don't Miss


Home   >   Business   >   Industries   >   Energy   >   Court stops BPE’s bidding for three power stations

Court stops BPE’s bidding for three power stations

By on March 18, 2014

An Abuja Federal High Court has stopped the Bureau of Public Enterprises from going ahead with the bidding for the privatisation of three power stations pending the determination of a suit filed against the exercise.

Following the commencement of the sale of Aloaji, Amoku and Gbarain power stations on March 7, 2014, a company, Ethiope Energy Limited, which also bidded for the power stations, approached the court to challenge its exclusion.

The firm asked the court for an order to stop the BPE from going ahead with the process.

In the statement of claim filed through its counsel, Dr. Alex Izinyon, SAN, Ethiope accused the Chairman of the Due Diligence Committee, Mr. Atedo Peterside, of having undue influence on the BPE.

The company said Peterside had been having a running battle with its Chairman.

Accusing BPE of bias, prejudice and conflict of interest, the plaintiff said Peterside should have excused himself completely from the exercise due to the litigation he instituted against its chairman.

Other defendants in the suit are Niger Delta Power Holding Company Limited and the Attorney-General of the Federation.

When the matter came up before Justice Abdul Kafarati on Monday, Ethiope, through its lawyer, Izinyon, asked the court to stop BPE from going ahead with the bidding process pending the hearing and determination of the suit.

Izinyon informed the court that despite being put on notice, the defendants had gone ahead with the bidding.

He said, “Despite being put on notice, they went ahead to take initial step to over reach the motion on notice.

“They said that there is no court order stopping them from going on with the bidding process.

“They had ample time to brief a lawyer concerning the case but they failed to do so because we served them on March 6, 2014, the last time the case came up.

“Till date, no process has been filed by them in this case.”

Counsel for BPE, Mr. A.M. Kayode, who held the brief of Professor Taiwo Osinpitan, SAN, told the court to order an accelerated hearing instead of making an order of injunction.

“I urge the court to order an accelerated hearing in this case. I do not have instruction from my principal to give undertaking.

“We are not aware that any step has been taken so far in this matter,” he argued.

But Justice Kafarati in a short ruling, made an order of injunction stopping further action on the bidding  until the determination of the suit.

“It is apparent that the defendants have been served with the motion on notice and they failed to brief their counsel.

“An order of interim injunction is hereby granted against the 1st defendant (BPE) from further going on with the bidding process of the power stations.” the judge said.

He adjourned the matter to March 25 for continuation of hearing.

 

 

[Punch]