The Federal High Court in Abuja has ordered the liquidation of Dantata & Sawoe Construction Company Limited following its failure to settle a $1.4 million debt owed to Zutari Consulting Nigeria Ltd. The debt arose from subcontract work on the Dangote Fertilizer Plant project in Lekki, Lagos.
Justice Mohammed Umar approved Zutari Consulting’s application to appoint a liquidator after noting that Dantata & Sawoe had repeatedly failed to honor payment obligations, despite being given multiple opportunities to resolve the dispute.
This ruling follows the court’s earlier directive to publish a winding-up petition in two national newspapers, signaling escalating pressure on the construction firm.
Zutari Consulting, an engineering design, consulting, and supervision firm, had been subcontracted by Dantata & Sawoe in 2015 to manage design components for the Dangote Fertilizer Plant. At the conclusion of the project, Zutari claimed that Dantata & Sawoe owed $1,257,592.83, ZAR 2,136,623.39, and £4,364.38.
When negotiations failed, Zutari sought arbitration at the International Chamber of Commerce in London, which issued a final award on April 7, 2021, in favour of Zutari. Despite this, Dantata & Sawoe challenged the Federal High Court’s jurisdiction on May 9, 2023, citing ongoing appeals and settlement talks, leading to multiple adjournments, including a 30-day extension last year to explore settlement options.
At Wednesday’s hearing, Chris Ekemezie, counsel for Zutari, told the court that Dantata & Sawoe had only offered to pay 75% of the debt, falling short of the full amount. The construction firm’s legal team argued that the offer was reasonable but was ultimately rejected.
Justice Umar observed that the case had been adjourned three times to allow for settlement, but no meaningful progress was made. Citing the company’s “unwillingness to pay,” the judge invoked Sections 571(d), 572, and 573(1)(b) of the Companies and Allied Matters Act (CAMA) 2020 to commence the winding-up process.
Joseph Abiolu, FCA, has been appointed as the liquidator. The court adjourned the matter to February 18, 2026, for the submission of the liquidator’s report.
