ALLEGED $6BN MAMBILLA POWER FRAUD: WITNESS TELLS COURT AGUNLOYE IGNORED FEC DIRECTIVE IN CONTRACT AWARD

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By Aishat Momoh. O.

The trial of former Minister of Power and Steel, Olu Agunloye, continued on Thursday, October 9, 2025, at the Federal Capital Territory High Court, Apo, Abuja, with a prosecution witness testifying that the defendant ignored a clear directive of the Federal Executive Council (FEC) in awarding the controversial $6 billion Mambilla Power Project contract.

Testifying before Justice Jude Onwuegbuzie, the third prosecution witness (PW3), Umar Hussein Babangida, told the court that the former minister disregarded a resolution reached at an FEC meeting held on May 21, 2003. According to him, the council, presided over by then-President Olusegun Obasanjo, had directed Agunloye not to award the Mambilla Power Project contract to Sunrise Power and Transmission Company Limited.

Babangida stated that despite the directive, Agunloye proceeded to award the $6 billion contract to the company.

Under cross-examination by the defendant’s counsel, Adeola Adedipe, SAN, the witness reiterated that the FEC resolution was clear and unambiguous, but the defendant chose to act contrary to it.

Agunloye is facing trial by the Economic and Financial Crimes Commission (EFCC) on an amended seven-count charge bordering on official corruption and fraudulent award of contract.

One of the charges reads in part:

“That you, Olu Agunloye, whilst being the Minister of Power and Steel on or about the 2nd of May, 2003 in Abuja, knowingly disobeyed the directive of the President made in the Federal Executive Council meeting of 21st May 2003 when you signed a letter addressed to Sunrise Power and Transmission Company Limited, conveying the approval of the Government of the Federal Republic of Nigeria for the construction of the 3,960 megawatts Mambilla Hydroelectric Power Station…”

The EFCC alleges that the defendant’s action contravenes Section 123 of the Penal Code Law.

Agunloye has pleaded not guilty to all charges.

Justice Onwuegbuzie adjourned the matter to November 3, 10, 12 and December 1, 2025, for continuation of trial.