Pres. Buhari Loses $1.7bn case, As UK Court Rules In Favour Of American Firm, JP Morgan Chase

June 14, 2022

Nigeria loses it lawsuit against JP Morgan Chase Bank, after Judge Sara Cockerill, of the British High Court, ruled against the country on Tuesday, in the fraud case relating to the Malabu Oil scandal 11 years ago.

The country had filed $1.7 billion damages against JP Morgan Chase, stating that the American multinational investment bank should have stopped the $1.1 billion OPL 245 deal involving Shell and Eni in 2011.

Join our WhatsApp Channel

Nigerian government said the transfer of the oilfield was enmeshed in corruption, showing red flags of fraud, which it state JP Morgan should have noticed through its money laundering checks. This prompted the FG to sue on the ground of “Quincecare duty”.

Quincecare duty is a regulation that enables financial institutions not to heed to the transfer instructions of their clients if they understand that such action would result into fraud. However, the company denied having knowledge about the illegality surrounding the deal.

JP Morgan Chase argued that its management carried compliance checks, and there was no objection from the Nigerian government until Muhammadu Buhari administration came in, and queried the deal.

Judge Cockerill side with JP Morgan Chase, stating the Nigerian government didn’t provide enough convincing to ascertain it was defrauded, hence, ruling against the $1.7 billion the Federal government was hoping to get from the company through the lawsuit.

+ posts
Previous Story

Voter Registration: Nzuko Umunna Urges INEC to Extend Deadline Beyond June 30

Next Story

Mastercard and Ecobank Group Partner to Digitize Agricultural Value Chains in Africa and Empower Millions of Smallholder Farmers Through Digital and Financial Inclusion

Featured Stories

Latest from Business

Markets Find Footing as Gold Shines

Jerome Powell remarks about QT has attracted a fair bit of attention. The Fed's total holdings of Treasuries and mortgage-backed securities are now nearing 21% of US GDP, a level broadly viewed as neutral based on the cycle before the pandemic.
Previous Story

Voter Registration: Nzuko Umunna Urges INEC to Extend Deadline Beyond June 30

Next Story

Mastercard and Ecobank Group Partner to Digitize Agricultural Value Chains in Africa and Empower Millions of Smallholder Farmers Through Digital and Financial Inclusion

Don't Miss

Telemedicine in Nigeria

The Challenges of Telemedicine in Nigeria

By Elsie Udoh Telemedicine has been around in Nigeria for
No Plans To Cancel NACCIMA/Qatar Business, Investment Forum In Doha

NACCIMA Commends Relaunch Of NTFC, Seeks Increased Public-Private Sector Partnership To Drive Economic Devt

The National President of the Nigerian Association of Chambers of