Pecohub The Federal High Court, Abuja, has struck out a liquidation case against Dantata & Sawoe Construction Company Limited after confirming that the company has fully paid the $1.4 million settlement agreement covering a $1,257,592.83 debt owed to Zutari Consulting Nigeria Ltd for subcontract work on the Dangote Fertilizer Plant project in Lekki, Lagos.
Justice Mohammed Umar on Wednesday vacated and discharged the earlier orders appointing liquidators for Dantata & Sawoe after reviewing affidavits and hearing submissions from both parties’ legal teams.
Pecohub previously reported that, in a bid to escape liquidation following a recent winding-up order of the Federal High Court, Dantata & Sawoe—via a motion on notice seen by Pecohub—disclosed that it had made full payment to the consulting firm.
This development comes just a day after Pecohub reported that Justice Mohammed Umar granted Zutari Consulting’s request for the appointment of a liquidator, noting that Dantata & Sawoe had been given ample time to settle the debt but repeatedly presented excuses.
It also follows months after the court approved the publication of a winding-up petition in two national newspapers.
Zutari Consulting is involved in engineering design, consulting, and supervision of engineering works, while Dantata & Sawoe has been engaged in general construction services for over three decades.
What Transpired in Court
At Wednesday’s hearing, Joshua E. announced appearance for Zutari Consulting, while I. Okim represented Dantata & Sawoe.
- Both lawyers confirmed to the court that their clients had reached a settlement, and that Dantata & Sawoe had cleared the outstanding debt.
- Okim urged the court to grant the company’s motion in view of the latest development.
- In response, counsel for Zutari Consulting made an oral application to discontinue the liquidation case against Dantata & Sawoe.
- After hearing from both sides, the judge held that the “motion is granted” and subsequently struck out the case.
What You Should Know
Citing grounds for the application, Dantata & Sawoe’s lawyer, I. Otim, acknowledged that the court had appointed liquidators based on the company’s inability to pay its arbitral award debt.
He added, however, that his client “has paid the arbitral award debt to the petitioner in this matter,” and argued that there was now a need to stay execution of the court’s orders or discharge the orders made on December 3, 2025.
Additionally, the Head of Litigation and Insurance for Dantata & Sawoe, John Dalamu, stated in his affidavit that further execution of the liquidation order would cause irreparable harm to the company and that it was in the interest of justice for the court to grant a stay of execution.
