In a proactive move to eliminate trade bottlenecks, the Nigerian Shippers’ Council intervened in a KYC and documentation dispute on March 3, involving a major shipment of 200+ electric tricycles. By mediating between EMV and PIL, the Council cleared seven 40ft containers and urged both parties to maintain a seamless business relationship.
On behalf of Executive Secretary Akutah Pius Ukeyima, Esq., MON, the Council’s Head of Complaints, Dr. Bashir Ambi, opened the mediation with a call for cooperation. He guaranteed a swift resolution to the KYC row, ensuring the seamless delivery of the 200+ electric tricycles and the timely return of empty containers to the shipping line.
At the heart of the dispute was a technical documentation hurdle: EMV alleged that PIL withheld an invoice due to a name discrepancy. While the Bill of Lading identified the consignee as ‘Electric Motor Vehicle Company,’ the company’s CAC registration carried the full title, ‘Electric Motor Vehicle Company of Nigeria Limited’- a mismatch the Shippers’ Council moved swiftly to resolve.
While seeking a balanced resolution, Dr. Bashir Ambi invited the carrier to present its defense against the allegations.
Representing PIL, General Manager of Finance Mr. Dhanesh Nair and one of their Management Officer Mr. Anthony Opekete explained that the company had requested a refundable security deposit of 8 million naira. This amount, equivalent to 50% of a container’s value, was implemented as a risk control strategy for the seven-container shipment, to be refunded upon the safe return of the equipment.
Representing EMV, Messrs. Ibrahim Musa and Olumodeji Samuel sought a deposit waiver based on a claimed long-standing relationship with PIL. However, the Bill of Lading submitted for verification proved unverifiable against the carrier’s database. To mitigate risk, PIL insisted on a stringent KYC review to ensure the safety and return of the 7X40ft containers.
PIL further presented the consignee’s Corporate Affairs Commission (CAC) certificate, highlighting that the name did not align with the Bill of Lading. The carrier maintained that releasing cargo under mismatched documentation would effectively constitute delivery to a different legal entity, exposing the firm to significant financial and legal liabilities.
After a rigorous two-hour negotiation, the Shippers’ Council successfully brokered a consensus, leading to key resolutions that satisfied both EMV and PIL.
1) Confirmation of Transaction: The Nigerian Shippers’ Council affirms that a valid commercial transaction exists between the carrier, PIL, and the complainant, EMV Company.
2) Validation of Good Faith: Following a review of the submissions, the Council validates that PIL’s request for additional documentation was made in good faith to ensure regulatory compliance.
3) Refund Directives: PIL is directed to process the refund of both the security deposit and advance demurrage to EMV immediately upon the confirmed receipt of all containers.
4) Compliance for Complainant: EMV Company is mandated to return all units to the approved holding bay within the stipulated timeframe, ensuring they are in good condition and duly signed off by the receiving authority.
5) Partnership & Appreciation: The Council encourages both PIL and EMV to sustain their commercial relationship to foster trade facilitation.
All parties expressed gratitude to the Council for its prompt intervention and successful resolution of the dispute