Following a Supreme Court judgment, whichrevoked the sale of the Aluminium Smelter Company of Nigeria (ALSCON) by the Bureau of Public Enterprises (BPE) to Rusal, a Russian company, the Federal Governmentsaid it has commenced the process of handing over the company to BFI Group.
In December 2006, Rusal, the world’s largest aluminium company, which belongs to Russian billionaire oligarch, Oleg Deripaska, acquired 77.5 per cent of the Federal Government’s shares in ALSCON for$205 million.
It was later to acquire another 7.5 per cent of the company from MAN Ferrostaal AG, the German firm that built ALSCON.
However, Rusal’s acquisition of ALSCON wasmired in controversy, as the Russian firm didnot win the bid during financial bid opening process held by the BPE.
Rather, the BFI Group, which was the preferred bidder, was side-tracked by former President Olusegun Obasanjo at the time, and Rusal was selected to acquire ALSCON.
Displeased by the Federal Government’s decision, BFI went to court to challenge the process and got a Supreme Court ruling in its favour last July.
The Supreme Court, had on July 8, ordered the BPE to execute the share purchase agreement with BFI Group to enable the company to pay the agreed 10 per cent of the accepted bid price of $410 million within15 working days from the date of the execution of the share purchase agreement.
Director General, BPE, Ms. Bolanle Onagoruwa, told THISDAY in an exclusive chat yesterday that it had no choice than to heed the Supreme Court directive.
“It is a Supreme Court judgment and we arebound to obey it,” she said.
She said the agency had held series of meetings with the Russians and had already informed them of plans to take back the plant.
But, the Russians, THISDAY gathered, are demanding compensation from government before they are dislodged.
The BPE boss, however, said it had asked Russal to make a formal request stating how much it requires in compensation.
THISDAY further learnt that Russal is likely to be evicted from the plant even before it gets the proposed compensation.
Onagoruwa said as ordered by the Supreme Court, government had already commenced the process of finalising the Share Sale Purchase Agreement, which is supposed to be signed with BFI Group.
She said: “What they (Russal) are saying is that they want compensation because in the agreement that we signed with them, we said in any circumstances like this, we wouldindemnify them.
“What they are going to do is to submit to us a formal request that this is what we’ve spent in the number of years that we’ve been there and this is the compensation thatwe are requesting. We would then present itto our bosses.”
Continuing, the BPE boss said: “We have to put in place an ordered process whereby BFIG comes in and the Russians leave but you know you can’t just tell them to walk outof the country, so it must be an orderly process.
“There’s a timeline for it; as I said, we are waiting for the Russians to come back with their proposal and we’ve had meetings with them. Once they come back with their proposal, then it would enable us to take the next step.”
Asked what the Federal Government would do if Russal’s proposal was unreasonable, she said: “We would negotiate it but in the meantime, what we are going to do is get in Federal Government officials to go into the plant and start to get them out of the plant.
“We don’t have to wait for the negotiations to be completed before BFIG takes over.”
In a judgment delivered by five justices, the Supreme Court had unanimously agreed that there was a binding contract between BFI Group and the BPE, which should be enforced.
Justice Afolabiyi Fabiyi, who delivered the lead judgment, held that BPE should not have gone ahead to sell the company to Rusal or any other company.
He said Rusal should have refrained from buying the company when it was aware that BFI Group, which was chosen as the preferred bidder before BPE unilaterally frustrated the contract, was already in court to challenge BPE’s refusal to consummate the transaction.
ALSCON has been under the management of Rusal for almost seven years.

http://www.thisdaylive.com/articles/fg-moves-to-take-over-alscon-from-russia-s-rusal/128757/

in saner climes, OBJ and d BPE head will b standing trial for this fraudulent act.

Obj did run nigeria like a personal business.
It beggars belief that this guy remains untouchable. In saner climes this guy will be cooling off in a self contained room with bars.

Thank God for the 1st time I'm first to comment. So glad

The present leaders are not better than obj. among the people that have ruled Nigeria, obj is the only person that can transform Nigeria.

luk at wat baba has done.ran dis country like his own personal busines.we ar reapin d seeds of his bad government

Thanks to OBJ Nigeria Telecom is obsolete, no national courier, corruption on a cosmic scale and Bakassi sale to Cameroon and their international cohort for third term ambition.
OBJ was a very bad news.

Kayusfity: Thank God for the 1st time I'm first to comment. So glad

Clap for yourself!

Kayusfity: Thank God for the 1st time I'm first to comment. So glad

Third is the new First, Niceee!

Itz nt a must 2 comment on all topic

so the russians will be compensated for doing absolutely NOTHING?

OBJ OBJ OBJ how many times did I call you?

I wish we have leaders with brain.

Never again should we allow an illiterate to be President of this Country. OBJ is a very good man and very very bad man.

OBJ should be tried for corrupt practices and jailed accordingly, this guy ruined Nigeria is so many ways.

Obj is a criminal and should be made to face the law

3 piece suites

Where we believe wholeheartedly in shopping for sofas the easy way. We aim to become the UK’s No 1 sofas comparison website, becoming a one stop shop for anyone who wants to freshen up their living space with a new sofa, sofa bed, armchair or accessories. You can search by category or check out what’s available from each of our quality, hand-picked retailers. And don’t forget to sign up to our customer hotline for the latest offers on sofas in the UK!
[url]
http://www.sofasintheuk.com/
[/url]

Hmmn

[size=18pt]GOD PLEASE DO NOT ALLOW THIS FG LED BY GEJ TO TAKE OVER ALSCON, SHE IS TOO CORRUPT [/size]

From obj to nigerians"I DE LAFF"

And the BPE head is enthusiastically talking about compensating Rusal?
For doing what exactly?
A company won a bid @400mil USD, you skipped that and sold to a @200mil bidder.
Now you also want to compensate them?
Can EFFC haul OBJ in for questioning about this kangaroo deal?
It's likely OBJ has shares in Rusal

And What is the FG doing about AJAOKUTA STEEL INDUSTRY