Senator Gbenga Daniel has come forward to defend his administration’s role in the establishment of the Ogun/Guangdong Free Trade Zone (FTZ), amid the ongoing legal and arbitration disputes between a Chinese firm and the Nigerian government. The former Ogun State Governor, who played an important role in the creation of the FTZ, emphasized that neither he nor his administration is involved in the current legal matters surrounding the termination of a management contract.
Over the past week, reports have emerged concerning the termination of a management contract between the Ogun State Government and Zhongshan Fucheng Industrial Investment Co. Limited, leading to a legal showdown that has spanned multiple countries. This dispute has seen the Chinese firm attempt to seize Nigerian assets abroad, raising concerns about the integrity of national resources and the potential impact on Nigeria’s international standing.
The Ogun Guangdong Free Trade Zone (OGFTZ) is a free trade zone located in Igbesa, Ogun State, Nigeria. It was established as a collaboration between Chinese firms and the Ogun State government to promote industrialization and facilitate trade. The zone is part of a larger group of designated free zones in Africa and is known to be managed by the China-Africa Investment Free Zone Company.
Senator Gbenga Daniel, who served as the Governor of Ogun State from 2003 to 2011 and was instrumental in establishing the FTZ, has found himself at the center of inquiries. However, in a statement released by his media office, he emphasized that neither he nor his administration was involved in the contractual disputes currently under litigation. The statement highlighted that the dispute in question pertains to the termination of a management contract, rather than any foundational agreements related to the establishment of the Free Trade Zone.
Senator Daniel, described as a patriotic elder statesman, chose to remain silent publicly on this matter to avoid compromising Nigeria’s legal standing in ongoing arbitration and court proceedings. His focus, as stated, is on providing crucial records to the Federal Government to aid in resolving the dispute diplomatically, rather than engaging in media commentary that could undermine Nigeria’s position.
The controversy has been particularly sensitive due to the involvement of Nigeria’s national assets, which Zhongshan Fucheng has sought to target through court orders in various jurisdictions, including Paris, the UK, and the USA. The Presidency has accused the Chinese company of attempting to “arm-twist” the Nigerian government by leveraging these international legal actions, drawing parallels with the notorious P&ID case that previously threatened Nigeria’s financial stability.
Despite the ongoing legal battles, Senator Daniel assured that the Ogun/Guangdong Free Trade Zone remains operational, with numerous companies still active within its premises. He pointed to the significant development strides made during his administration, including the transformation of the Igbesa area from a rural community into a bustling hub of economic activity.
As the legal battles continue, Senator Daniel’s statement underscores his commitment to Nigeria’s interests and his refusal to be drawn into political gamesmanship over such a critical issue. His administration’s legacy in Ogun State, particularly the establishment of the FTZ, remains a testament to his dedication to the state’s development and the well-being of its people.
His statement reads in full;
Since the report of the Arbitration and legal matters between a Chinese Firm and the Federal Government of Nigeria/Ogun State Government on the termination of Management contract at the Ogun/Guangdong Free Trade Zone, the Media Office of His Excellency, The Senator Otunba Engr Gbenga Daniel, FNSE, FAEng has been inundated with calls requesting for Otunba Daniel’s reaction on the matter.
We need to establish clearly that Otunba Gbenga Daniel, or his administration is not in discussion on the matter before the courts and arbitration, neither were the terms or proprietary of the Agreement for the establishment of the FTZ, rather it is the termination of a Management Contract. The judgements in all the courts are very clear on this.
It is also important to note that this is a very sensitive matter involving our collective national assets and commonwealth, which every patriotic Nigerian should feel concerned about. And as a Patriotic elderstatesman who has had the privilege of serving Ogun State as the Governor through which he was able to bring about several developmental projects including the establishment of the Ogun/Guangdong Free Trade Zone and others, and through which he has impacted on the lives of many citizens, also as a serving Senator of the Federal Republic of Nigeria, it is this patriotic path he chooses to thread.Rather than engaging on media comments, the most reasonable course of action that The Senator Otunba Gbenga Daniel would rather engage in is helping Nigeria, through the President and Commander-in-Chief, Asiwaju Bola Ahmed Tinubu to finding a diplomatic solution to the issue at hand with available records that could assist the Federal Government in pursuing its course at the arbitration and before the courts. He can not do this on the pages of the newspapers and on other media, which may also compromise the strength of Nigeria’s arguments in the courts.
We also need to appreciate that this matter is before various courts in several countries, and it is subjudice for anyone to speak on them.
However, let us emphasize once again that the Ogun/Guangdong Free Trade Zone project still exists and several Nigerians are working there as we write, just as there are several companies still doing their legitimate businesses. It is from this perspective of development that the efforts of Otunba Gbenga Daniel should be well appreciated.
At the time of his handover in 2011, anout 56 companies were at various stages of operations, construction, and showing interests in the Free Trade Zone and through which various life impacting developments (including but not limited to the construction of roads, schools for the local community, scholarship and sponsorship of many Nigerians for academic pursuit etc) have taken place in the Igbesa area, which was an otherwise rural community before the establishment of the Free Trade Zone.
There are so many incorrect reports and misrepresentation of facts on Timelines of activities relating to the establishment and Operations of the Free Trade Zone in circulation especially on the social media, and we plead that the media should partner with the Nigerian government in finding a very productive solution to this matter in Nigeria’s interest. It is not time to play politics with the assets and integrity of our dear country.
We sincerely appreciate all efforts at reaching out for Otunba Daniel’s side of the story as we also seek the understanding of all those who called to appreciate his sturdy silence to be able to assist the President on the way out of this testy time and situation.
Seunmanuel Faleye is a brand and communications strategist. He is a covert writer and an overt creative head. He publishes Apple’s Bite International Magazine.
