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Afrogus firm threatens to sue WRPC

By Festus Ahon
UGHELLI—THE Warri Refining and Petrochemical Company Limited (WRPC), Ekpan, Delta State, may be dragged to court for alleged failure to comply  with the contractual agreement it entered into with Afrogus Limited on disposal of 500 metric tones of scraps.

In a letter addressed to the Managing Director of  WRPC, written on behalf of Afrogus Limited by Mr. Okiemute F. Durie, a legal practitioner with Chief E.F. James –Oru and Co, which was made available to  Vanguard in Ughelli, Delta State, Afrogus Limited urged the WRPC to accept the draft of N15,045,015:00 raised in its name as demanded.

It read:  “That you by Public Notice on disposal of scrapped metals, dated July 16, 2009, invited bids from the general public, requesting companies with evidence of registration with the Corporate Affairs Commission, and payment of a non- refundable bidding fee of N100,000.00 after same scrap metals have been inspected.

“Bidding forms collected, submitted to office of Manager, Materials Department, Room 119, Maintenance/Warehouses Building, WRPC, Ekpan, Warri.

“Our client Afrogus Limited, a registered company in Nigeria, paid the sum of N100,000.00 vide receipt with No.252 2972 dated August 3, 2009, duly issued as bidding fees for the purchase of the scrap metals.

“That Afrogus Limited bidded for the purchase of the said scrap metals on the 3/8/09 by quoting N50, 150.50k (Fifty Thousand, One Hundred and Fifty Naira and Fifty kobo) only.

“Consequently, your company considered the bids and on August 12, , 2009, communicated to our client, vide letter with reference WRPC/ABDC/SM-01 informing her that Afrogus Limited emerged as the winner of the bidding exercise for the purchase of the scrapped metals and thereby becomes the only company eligible for the purchase.

“Your company informed further that the total weight placed on the available metals is 500 (five hundred) metrics tones (MT) and request through same letter dated  August 12, 2009 an initial deposit of N15,045,015.00 (Fifteen Million, Forty Five Thousand and Fifteen Naira) only representing 300 metric tones, not later than August 14, 2009, while payment of the balance 200 metric tones amounting to N10,030,010.00 (Ten Million Thirty Thousand and Ten naira) shall be  made payable on or before August 28, 2009.

“Consequent upon the letter dated 12/08/09 an acceptance letter from Afrogus Limited dated same August 12, 2009 was dispatched and received by your company.

A First Inland Bank, Ughelli Branch draft for N15,045,015.00 representing 300MT was made in your favour on August 14, 2009 as requested in your aforesaid letter.

“You have however, failed, refused, and/or neglected to execute a contract agreement on acceptance of your offer and collect the said Bank draft initial deposit of N15,045,015.00 from the winner of the said bid for no just cause.

“Take further notice that Afrogus Limited is aggrieved as you have without justification refused to perform/execute the said contract agreement and receive the said sum of N15,045,015.00 representing 300MT as per your letter dated 12th August, 2009 having  fulfilled all conditions necessary for her to remove the scrap from your yard at Ekpan.

“Consequent upon the above, Afrogus Limited will at the expiration of one month from the date of receipt of this notice of intention to commence legal proceedings against you, proceed to the Federal High Court, Asaba and make the following claims, while the scrap metals should not be unlawfully dealt with by your company.”

It added: “An order directing your company to specifically receive the initial deposit of N15,045,015.00 representing 300MT x N50,150.05 and perform conclusively the contract agreement with Afrogus Limited.

“An order directing your company to allow Afrogus Limited to remove the scrap metals from your yard amounting in total to 500MT.

“An order directing your company to receive the sum of N10,030,010.00 being balance for 200MT to be available on the 28th day of August, 2009. These are however without prejudice to the right of Afrogus Limited to claim damages for your unwholesome actions, in further default to comply with the said request.”


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