… no law permits China to seize govt institutions, says ex-Foreign Affairs Minister
The House of Representatives Committee on Treaties, Protocols and Agreements has invited the Ministry of Justice to shed light on the sovereignty clause in Nigeria’s loan agreement with China.
The Chairman of the committee, Nicholas Ossai, disclosed this on Tuesday at the sitting of the panel, which is investigating external loans and commercial agreements signed by Nigeria.
An aggrieved member, who spoke to one of our correspondents on condition of anonymity after the committee sitting, said Ossai was digging into issues beyond his mandates.
The lawmaker said, “Was he asked to oversight transport/works/ICT committees? The referral is about contents of agreements. If they are inimical to our wellbeing and our overall sovereign interest, the proper person to invite is the AGF (the Attorney General of the Federation (Abubakar Malami, SAN). He did not call him.
“All the directors of legal services of all the ministries, departments and agencies are (members of) staff of the Attorney General of the Federation office. Why didn’t he (Ossai) call the AGF?
“When Mr President sent a request for loan approval, it was referred to the Committee on Loans Aids and Debt (Management). The committee brought its report, including the agreements and terms. It was discussed and approved by the Committee of the Whole. So, is Ossai now investigating the decision of the entire House and by extension the National Assembly too? Even most of the loans were taken by the PDP.”
But speaking to one of our correspondents after the committee’s short sitting on Tuesday, Ossai vowed to continue with the probe and conclude it.
Ossai said, “On Tuesday (next week), we are meeting. I will not soft- pedal on this issue. I’m going all out. To me, I feel Nigerians should be protected. Those clauses, we must make sure today they are renegotiated. We cannot say because you want to take loans, you will hold Nigerians by their jugular.
“Even when we approve loans, the second arm of the passage is a prayer that they will bring the details of those agreements to the National Assembly, which they have never brought.”
The chairman had on Monday described the sovereignty clause in the Chinese loan as dangerous.
At Monday’s sitting, a member, Oluwole Oke, disagreed with Ossai.
The Federal Government had on Monday confirmed the controversial clause relating to the sovereignty of Nigeria.
According to both the Federal Ministry of Finance, Budget and National Planning, and the Ministry of Transportation, the clause is a global standard in bilateral agreements.
The committee, at its sitting on Tuesday, suspended its investigative hearing till Tuesday.
Ossai, who led members of the panel into the venue about one hour behind schedule, called for the adjournment after the opening prayers.
Ossai said the lawmakers needed to scrutinise the documents already presented to the committee, while the panel would also demand explanations from the Federal Ministry of Justice.
He said, “You are aware that I, as the chairman of this committee, will not ambush my colleagues in terms of new documents submitted. We need to digest most of these documents and go through the documents clause by clause.
“There is also an important office in this country that has been part of the negotiating team, which is the Ministry of Justice. The Ministry of Justice has been reached. They need to be part of this because of the revelations that are coming up now on most of these clauses. And these are the people who were supposed to have seen the clauses embedded in the documents. So, we also need the Ministry of Justice to be able to interface with them.
“More importantly, we also need the Minister of Finance, who was supposed to be here. The ministry signed most of these agreements with other countries.
“So, I am seeking the indulgence and the permission of my committee members to begin to look at this issue and probably adjourn for one week, to enable us to digest this matter and re-invite the honourable ministers that are here and those that are not here, so that we can conclude this matter as soon as possible, so that we can make our recommendation to the National Assembly.
The committee, therefore, resolved to adjourn till Tuesday.
Meanwhile, a former Minister of Foreign Affairs, Prof. Bolaji AKinyemi, has stated that no international law permitted China to seize any Nigeria’s institutions on account of default in loan repayment.
Akinyemi, who spoke in an interview with a French video-sharing technology platform, Daily Motion, however, faulted the use of the term sovereignty clause by the Federal Government, saying immunity was preferable.
He explained that conditions usually attached to Chinese loans were not different from those given by other countries in America and Europe.
Akinyemi said Africans should be outraged that their leaders always took loans they knew ab initio that they would not repay.
He said, “People who grant you those loans must also know that they can get the money back one way or the other. If they grant you loan forgiveness or debt rescheduling, it is probably because they will ask you when you are negotiating at an international conference for your votes.
“But there is no way they will reschedule your loan or grant you loan forgiveness for nothing.”
He noted that the world started making a distinction between sovereign and economic immunity after Russia, upon assuming control of many companies, claimed sovereignty for its business interests.
Akinyemi said sovereign immunity could only apply to political relations and diplomacy.
He stated, “But when it comes to economic relations, trading, buying and selling, contracts, etc, you cannot claim sovereign immunity for them or else you will be putting your partner at a disadvantage.
“That is what Africans and developing countries should keep in their minds that in the realm of economic relations, you cannot claim immunity even though your state is a party to that contract. That is what this debate is all about.
“I think it is a pity that in the particular contract we are talking about, the term sovereign immunity was used. If I were the minister in charge of that project, I wouldn’t use that term. I would simply say you cannot claim immunity when it comes to repayment of your loans. You cannot claim immunity when there is a disagreement.
“It is interesting that the Chinese foreign ministry has issued a statement that Nigeria’s sovereignty is not at stake in this matter. I am not familiar with the terms of their contract with other African countries, but there is no international law that will permit China to march into any African country and seize any institutions of government. But if it is in the contract, which with their eyes opened they signed, then that is a different thing,” he added. – Punch.