Nigeria loses a $1.7 billion lawsuit against JP Morgan-FG in court. Reacted

The US government has reacted to its $1.7 billion court case against JP Morgan Chase Bank being dismissed by a London High Court.

Lai Mohammed, the Minister of Information and Culture, stated that the government will analyze the commercial court’s decision and take appropriate action.

 

President Muhammadu Buhari presided over the Federal Executive Council (FEC) meeting on Wednesday, and Mohammed made the announcement in a discussion with State House media.

 

The government’s lawyers, according to the minister, will analyze the judgment and advise on whether to appeal or accept the court’s decision.

 

Remember that the Nigerian government had taken JP Morgan to court over a breach of its Quincecare obligation.

The Nigerian government stated that the bank should have known that the deal in which Malabu Oil & Gas Ltd sold its entire stake in OPL 245 to Shell and ENI for $1.1 billion in 2011 was corrupt and fraudulent.

It claimed that JP Morgan’s actions were in violation of guidelines requiring banks to disregard a customer’s instructions if implementing such instructions would promote fraud against that customer.

 

In a six-week trial, Nigeria claimed that the US investment bank acted negligently when it moved $875 million from government accounts to Dan Etete, a former Minister of Petroleum who was convicted of money laundering between 2011 and 2013.

 

JP Morgan was accused of ignoring “glaring” red flags, including “overwhelming” evidence of fraud and strong warnings from its compliance staff, when it authorized the transfers, and the Nigerian government was demanding damages of roughly $1.7 billion, plus interest.

 

JP Morgan should have prevented the transfer of $875 million in Nigerian currency, according to Ngeria.