South Sudan’s government is facing regional litigation after failing to honor a legally binding $1.05 billion settlement with South Sudan Supreme Airlines Ltd., officials said.
The airlines company is owned by South Sudanese businessman Ayii Duang Ayii.
Despite repeated interventions from senior officials, the Ministry of Finance and Planning has made no payments under an agreement reached with South Sudan Supreme Airlines Co. Ltd. and Pan African Law Chambers LLP nearly a year ago. Court proceedings are scheduled for March 10, 2026.
Dispute Origins and Settlement
The dispute began at the East African Court of Justice (EACJ) in Arusha, Tanzania, where South Sudan Supreme Airlines had filed claims against the government.
On Feb. 13, 2025, the parties withdrew the case by mutual consent after negotiating an out-of-court settlement under the supervision of the Ministry of Justice and Constitutional Affairs.
Under the terms, the Ministry of Finance and Planning committed to pay $1,053,936,749.85 in 24 monthly installments of about $43.9 million each. The settlement was formally acknowledged during the tenure of the former finance minister, but no payments were made.
Legal Warnings Ignored
Government correspondence shows repeated efforts to prevent the dispute from returning to court.
On Sept. 16, 2025, Sura Ali Lado, acting head of legal administration at the Ministry of Finance and Planning, formally advised compliance, warning that failure to implement the settlement could expose the government to renewed litigation and financial penalties.
Three months later, on Dec. 16, 2025, Justice Michael Makuei Lueth, minister of justice and constitutional affairs, issued a direct request urging immediate payment or renegotiation of the installment schedule. The finance ministry did not act.
Vice President James Wani Igga later intervened, instructing former Finance Minister Barnaba Bak Chol to resolve the matter before the next court hearing. His directive cited prior legal advice and internal correspondence, emphasizing that the obligation was acknowledged and undisputed. The settlement remains unpaid.
Court Proceedings Set to Resume
The renewed application before the EACJ was initially scheduled for Oct. 30, 2025, but the court did not sit due to security concerns in Tanzania. The case has been rescheduled for March 10, 2026, before a panel of five justices.
Senior counsel Wani Santino Jada of Pan African Law Chambers LLP will represent the applicants, supported by a legal team of 19 lawyers.