Dantata & Sawoe Escapes Liquidation, Pays $1.4M Debt

The Federal High Court in Abuja has struck out a suit seeking the liquidation of Dantata & Sawoe Construction Company Limited over the refusal to pay $1.4m owed to Zutari Consulting Nigeria Ltd.

Justice Mohammed Umar struck out the suit after it was confirmed that Dantata & Sawoe had finally paid the $1.4m settlement agreement covering the $1,257,592.83 debt owed for subcontract work on the Dangote Fertiliser Plant project in Lekki, Lagos.

Justice Umar, in a ruling, vacated and discharged the earlier orders, appointing liquidators for Dantata & Sawoe after he reviewed the affidavits before the court and listened to submissions of counsel for the parties.

Dantata & Sawoe had, in the bid to escape liquidation, paid the $1.4 million in full.

The company, in a motion on notice filed by its lawyer, Mr I.I. Okim on Dec. 4, told the court that it had fully paid the debt owed to Zutari Consulting Nigeria Ltd for the subcontract work.

The development came months after the court approved the publication of a winding-up petition in two national dailies against the company.

The judge, who granted Zutari Consulting’s request for the appointment of a liquidator, held that Dantata & Sawoe had been given ample time by the court to settle the debt but the company repeatedly presented excuses.

Meanwhile, when the matter was called, E. Joshua, who announced appearance for Zutari Consulting, and Okim, who represented Dantata & Sawoe, confirmed to the court that their clients had reached a settlement.

The lawyers confirmed that Dantata & Sawoe had cleared the outstanding debt.

Okim, therefore, urged the court to grant the company’s motion in view of the latest development.

In response, Joshua made an oral application to discontinue the liquidation case against Dantata & Sawoe.

Justice Umar granted the application after hearing from counsel for the parties and struck out the case.

NAN recalls that Okim, while citing grounds for the filing of the motion, admitted that the court had appointed liquidators on the basis that his client had been unable to pay its arbitral award debt.

The lawyer stated that the company “has paid the debt arbitral award to the petitioner in this matter,” and argued that there is now a need to stay execution of the court’s orders or discharge the orders made on Dec. 3.

He further stated that his client had filed an appeal and that continued execution of the trial court’s orders might foist a fait accompli (irreversible accomplished fact) on the pending appeal.

The applicant also undertook to provide security for costs.

Okim, therefore, sought “an order staying execution of the court’s order made on Wednesday, December 3, 2025, pending the hearing and determination of the appeal filed against the orders in this petition.

“An order vacating or discharging the orders appointing liquidators for the applicant made on December 3, 2025.”

The Head of Litigation and Insurance for Dantata & Sawoe, John Dalam, in the affidavit attached to the motion, averred that several credit transfers were made to Zutari Consulting to support the company’s claim of full payment.

“The debit alerts showing the payments of the arbitral award sum are attached here as Exhibit D2 series,” he added.

Dalam stressed that further execution of the liquidation order would cause irreparable harm to the company and that it would be in the interest of justice for the court to grant a stay of execution.

The $1.4 million project debt is in accordance with the terms of a settlement agreement, regarding an alleged $1,257,592.83 debt owed to Zutari Consulting Nigeria Ltd, following the subcontract work in Lekki, Lagos.