Buhari was sued for N100 billion over Ararume’s purportedly illegal ouster as chairman of the NNPC

Senator Ifeanyi Godwin Ararume’s claimed wrongful removal from his position as non-Executive Chairman of the newly incorporated Nigeria National Petroleum Company has landed President Muhammadu Buhari in hot water for N100 billion (NNPC).

Ararume is claiming a substantial sum as compensation for the alleged illegal removal of him from his position as NNPC Chief after using his identity to create the company.

A group of Senior Advocates of Nigeria (SANs) consisting of Chief Chris Uche, Ahmed Raji, Mahmud Magaji, Ogwu James Onoja, K.C. Nwufor, and Gordy Uche filed the lawsuit with the file number FHC/ABJ/CS/691/2022 on his behalf.

In the lawsuit, Ararume formulated four issues for the court to decide on, one of which was whether the non-Executive Chairman’s office was not governed and regulated by the stated laws in light of the Petroleum Industry Act of 2021, the Companies and Allied Matters Act of 2010, and the Memorandum and Articles of Association of the NNPC.

In addition, he asks the court to interpret Section 63 (3) of the Petroleum Industry Act 2021 to establish whether the President may legally dismiss him from his position as non-executive chairman of the NNPC for any cause not covered by the legislation.

The lawmaker from Imo also asks the court to rule on Buhari’s ability to fire him in violation of explicitly stated clauses in the company’s articles of association, section 63 (3) of the PIA Act 2021, and section 288 of the CAMA Act 2020.

The issue of whether his alleged expulsion through a letter dated January 17, 2022, without compliance with plainly stated legal requirements, is not unlawful, illegal, null and invalid, and of no legal importance at all, is also listed for determination.

When the objections are resolved in his favour, the plaintiff requests that the court declare that his role as non-executive chairman of the NNPC is solely governed and regulated by CAMA 2020, PIA Act 2021, and the Company’s Memorandum of Association.

Furthermore, he requests that the court interpret Section 63 (3) of the Petroleum Industry Act 2021 to determine if the President has the right to remove him from his job as non-executive chairman of the NNPC for any reason not specified by the law.

In addition, the legislator from Imo requests that the court rule on Buhari’s power to dismiss him in defiance of provisions that are expressly specified in the company’s articles of association, section 63 (3) of the PIA Act 2021, and section 288 of the CAMA Act 2020.

Therefore, Ararume requested a court judgment overturning Buhari’s expulsion of him by letter dated January 17, 2022, with reference number SGF.3V111/86.

Additionally, he requested that the court immediately reinstate him and grant him all of the rights and perks that come with holding the position of non-executive chairman of the NNPC.

In addition, the plaintiff requests that all NNPC Board decisions and resolutions were taken from January 17, 2022, until the present be declared invalid and set aside, as well as another injunction preventing the defendants from removing his name from the Company’s board of directors.

For the improper removal, disruption, and interruption of his tenure of office as non-executive chairman of the NNPC, he asked for N100 billion in damages.

Ararume claimed in a 75-paragraph affidavit filed in support of the lawsuit that after the Petroleum Industry Act of 2021 was passed, the former Nigerian National Petroleum Corporation (NNPC) and its subsidiaries were divided up to form the Nigeria National Petroleum Company, which was given the registration number 1843987 by the Corporate Affairs Commission.

On October 20, 2021, President Buhari authorized his nomination as a non-executive Chairman for an initial five-year term. His name was then entered into the company’s memorandum of incorporation, and the appointment was made public.

Ararume asserted that he attended the 23rd World Petroleum Congress in the United States of America based on the appointment, but surprise, on January 7, 2022, Buhari inaugurated the NNPC Board without consulting him and named a different person in his stead.

He received notice of the cancellation of his appointment via a letter dated January 17, 2022, but there was no explanation provided for the purported dismissal.

Plaintiff claimed that he had never been declared bankrupt or deemed medically unfit for employment and that he had violated none of the removal prerequisites.

Plaintiff claimed that the defendant’s unlawful act had increased public mistrust of him and rumours about him.

Ararume then alleged that his purported expulsion by President Buhari had resulted in a loss of credibility and goodwill, immense emotional, mental, and psychic suffering, as well as public humiliation, degradation, and embarrassment.

As a result, he asked the court to grant him compensation in the amount of N100 billion and to order his return to office following the terms and letter of his appointment.

After Chief Chris Uche SAN, who represented Ararume and Alhasan, did not object, Justice Inyang Edem Ekwo ruled that the Corporate Affairs Commission (CAC) be joined as a party during the proceedings on Wednesday. President Buhari was represented by Shuaib.

After that, Justice Ekwo set December 15 as the date for further mention of the case and commanded that the parties receive the amended originating summons before the postponed date.