The Federal High Court in Abuja has appointed a liquidator for Dantata & Sawoe Construction Company Limited over its failure to settle a 1.4 million dollar debt arising from a settlement agreement related to an alleged 1,257,592.83 dollars owed to Zutari Consulting Nigeria Ltd. The debt stems from subcontract work on the Dangote Fertilizer Plant project in Lekki, Lagos.
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Justice Mohammed Umar approved Zutari Consulting’s application for the appointment of a liquidator, noting that Dantata & Sawoe had been given multiple opportunities to resolve the dispute but repeatedly presented excuses instead of making payment.
The decision follows the court’s earlier approval for the publication of a winding-up petition in two national newspapers, signaling heightened pressure on the construction firm.
Zutari Consulting Nigeria Ltd, an engineering design, consulting, and supervision firm, was subcontracted by Dantata & Sawoe in 2015 to handle design components for the Dangote Fertilizer Plant.
At the end of the project, Zutari claimed Dantata & Sawoe owed it 1,257,592.83 dollars, ZAR 2,136,623.39, and £4,364.38. Unresolved negotiations led to arbitration at the International Chamber of Commerce in London, where a final award issued on April 7, 2021, ruled in Zutari’s favour.
Despite the arbitral award, Dantata & Sawoe filed a preliminary objection on May 9, 2023, challenging the jurisdiction of the Federal High Court and citing an ongoing appeal and continuing settlement talks. The matter experienced several adjournments, including a 30-day extension granted last year to enable settlement efforts.
At Wednesday’s hearing, Zutari’s counsel, Chris Ekemezie, informed the court that Dantata & Sawoe had only proposed to pay 75 percent of the debt, which fell short of the full amount due. Dantata & Sawoe’s legal team argued that the offer was reasonable but was rejected.
After considering the arguments, Justice Umar noted that the case had been adjourned three times to accommodate settlement efforts, yet no progress had been made. Citing the company’s “unwillingness to pay,” the judge invoked Sections 571(d), 572, and 573(1)(b) of the Companies and Allied Matters Act (CAMA) 2020 to order the commencement of the winding-up process.
Joseph Abiolu, FCA, was appointed as the liquidator. The matter was adjourned to February 18, 2026, for the liquidator’s report.
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