President Bola Tinubu has awarded another massive contract to his longtime ally, Gilbert Chagoury, entrusting the reconstruction of Lagos’ major seaports to a businessman previously convicted of money laundering.
Chagoury, a Nigerian-Lebanese billionaire, will oversee the refurbishment of Tin Can and Apapa ports through his company, ITB Construction Nigeria Limited, a subsidiary of Chagoury Group. The project, estimated at $700 million (about N1.1 trillion), was approved by Nigeria’s Federal Executive Council in February.
People Gazette reports that despite his controversial history and lack of experience in seaport construction, Chagoury continues to secure major government contracts. His company was also awarded the $11 billion Lagos-Calabar Coastal Highway project in 2024, a decision that sparked outrage among Nigerians.
The Lagos port renovation will be financed by loans from Nigeria’s Citi Bank and the UK’s Export Finance. Several international companies are eager to invest in the project. APM Terminals, a subsidiary of global shipping giant Maersk, has already pledged $500 million, covering 70% of the project’s total cost. Afreximbank has also expressed interest in funding the project.
However, the final selection of financial partners rests with the Nigerian Ports Authority, led by Abubakar Dantsoho.
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Chagoury has built a close relationship with President Tinubu, which has helped him secure lucrative deals in Nigeria despite his past legal troubles. In 2000, he was convicted of money laundering by the U.S. government. More recently, in 2021, he was fined $1.8 million by the U.S. Department of Justice for making illegal campaign donations to four American politicians.
His role in corruption scandals was highlighted by former Nigerian anti-corruption chief Nuhu Ribadu, who once said, “You couldn’t investigate corruption without looking at Chagoury.”
Despite these concerns, Chagoury has remained influential in Nigeria’s business and political circles.
He owns Eko Hotel and is a key backer of the Eko Atlantic project. He also acts as a middleman for foreign investors seeking to do business in Nigeria. In February, he arranged a meeting between representatives of Dubai-based DP World and Nigerian officials, including President Tinubu and Minister of Maritime and Blue Economy, Adegboyega Oyetola.
According to a report by African Intelligencer, Chagoury Group was handpicked for the port reconstruction project without a competitive bidding process.
“The Nigerian government duly chose Chagoury Group, and its subsidiary ITB Nigeria, at the president’s say-so,” the report stated.
Critics argue that awarding such a crucial infrastructure project to a businessman with a corruption-tainted history raises serious concerns about transparency and accountability. However, Chagoury has consistently denied any wrongdoing in past corruption and terrorism financing allegations.
With President Tinubu’s backing, Chagoury remains a dominant figure in Nigeria’s economic landscape, securing major contracts despite public and international scrutiny.