Witness Tells Court How Ex-Minister Agunloye ‘Defied Obasanjo’s Directive’ In $6Billion Mambilla Power Deal


Witness Tells Court How Ex-Minister Agunloye ‘Defied Obasanjo’s Directive’ In $6Billion Mambilla Power Deal
Under cross-examination by Agunloye’s counsel, Adeola Adedipe (SAN), the witness reaffirmed that the minister’s action contradicted the presidential directive and violated due process in the award of the project.
The trial of former Minister of Power and Steel, Dr. Olu Agunloye, over the controversial $6 billion Mambilla Power Project contract, continued on Thursday, October 9, 2025, at the Federal Capital Territory (FCT) High Court, Apo, Abuja, with fresh revelations on how the ex-minister allegedly ignored a presidential directive.
During Thursday’s proceedings before Justice Jude Onwuegbuzie, the third prosecution witness (PW3), Umar Hussein Babangida, told the court that Agunloye defied a resolution and directive of the Federal Executive Council (FEC) during the administration of former President Olusegun Obasanjo, by awarding the multibillion-dollar power project to Sunrise Power and Transmission Company Limited.
According to the witness, the FEC meeting of May 21, 2003, chaired by President Obasanjo, had expressly resolved that the Ministry of Power and Steel should not proceed with awarding the contract to Sunrise Power, but Agunloye allegedly went ahead to issue a letter of approval to the company.
“The defendant disregarded the resolution and the directive of the Federal Executive Council not to award the contract to Sunrise Power and proceeded to do so,” Babangida testified.
Under cross-examination by Agunloye’s counsel, Adeola Adedipe (SAN), the witness reaffirmed that the minister’s action contradicted the presidential directive and violated due process in the award of the project.
Agunloye is currently facing trial by the Economic and Financial Crimes Commission (EFCC) on an amended seven-count charge bordering on official corruption and the fraudulent award of the Mambilla Power Project contract valued at $6 billion (Six Billion US Dollars).
One of the charges reads: “That you, Olu Agunloye, whilst being the Minister of Power and Steel on or about the 2nd of May, 2003 in Abuja within the jurisdiction of this Honourable Court, knowingly disobeyed the directive of the President, made in the Federal Executive Council meeting of 21st May 2003, directed at you pursuant to the President’s powers under Section 5(1)(a) of the Constitution of the Federal Republic of Nigeria 1999 (as amended), 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-megawatt Mambilla Hydroelectric Power Station, and you thereby committed an offence contrary to and punishable under Section 123 of the Penal Code Law.”
Agunloye, who has repeatedly maintained his innocence, pleaded not guilty to all the charges when they were read to him in court, setting the stage for full trial.
Justice Onwuegbuzie adjourned the matter till November 3, 10, 12, and December 1, 2025, for continuation of the hearing.
The Mambilla Hydroelectric Power Project, conceived to generate 3,960 megawatts of electricity in Taraba State, has been mired in controversy for years, with allegations of contractual breaches, political interference, and corruption hindering its implementation.
