Whistleblower Group Sues Nigerian Government to Block $396.6 Million Payout to Senator Ned Nwoko

ABUJA — In a major development in the long-running Paris Club refund controversy, the George Uboh Whistleblowers Network (GUWN) has filed a lawsuit against the Nigerian government, seeking to halt a fresh payment of $396.6 million to Senator Ned Nwoko and his company, Linas International Limited. The civil society group argues that the planned payment is "unlawful, unjustified, and a violation of due process."

The suit, filed before the Federal High Court in Abuja, names the Attorney-General of the Federation (AGF), Lateef Fagbemi (SAN), the Minister of Finance, and the Nigeria Governors' Forum (NGF) as co-defendants. GUWN is asking the court to determine if the government is justified in processing the payment, which is based on a series of recent approvals.

The Heart of the Dispute

At the core of the lawsuit is an exchange of letters between the whistleblowers' network and the AGF, which highlights the conflicting positions on the matter.

In a petition dated July 16, 2024, GUWN urged the AGF to rescind his office's November 25, 2024, letter to President Bola Tinubu, which had recommended the payment. The group contends that Nwoko and Linas had already accepted a "full and final settlement" of $350 million in 2018 under the previous administration, which should have concluded the matter. GUWN described the new demand as "blatant and unadulterated fraud" and, citing Nigeria's whistleblower policy, requested a 5% reward—$19.83 million—for its intervention.

However, in his November 25, 2024, memo to President Tinubu, AGF Fagbemi defended the payment. He cited court judgments in favor of Nwoko and his firm, along with a fresh "no objection" letter from the Nigeria Governors' Forum. Fagbemi noted that while Nwoko's firm received an initial payment of $241 million in 2018, a balance of $396.6 million remained. He also pointed to EFCC investigation reports from 2018 to 2024, which he said consistently confirmed Linas and Nwoko as the "only genuine consultants" engaged in the refund process.

Reliefs Sought and Broader Implications

In its suit, the whistleblower group is seeking six substantive reliefs, including:

A court declaration that Nwoko and Linas are not entitled to the $396.6 million.

A declaration that the AGF and NGF acted improperly in facilitating the payment.

A perpetual injunction to restrain the Federal Government from disbursing the funds.

An order to compel the government to pay the whistleblowers' network 5% of the disputed sum as a reward.

The disputed funds are part of a long-running saga over consultancy fees tied to the recovery of alleged over-deductions from Paris and London Club loans paid by Nigerian states. The controversy has been a source of repeated litigation and government directives.

The matter has not yet been assigned to a judge. The defendants have 30 days from the date of service to enter an appearance.