Agunloye Allegedly Slashes FG’s Mambilla Stake by $900m Without Approval — EFCC Witness

An Economic and Financial Crimes Commission (EFCC) investigator has alleged that former Minister of Power, Olu Agunloye, reduced the Federal Government’s equity in the Mambilla hydropower project by $900 million without presidential approval.

Umar Hussein Babangida, an assistant commissioner of police attached to the EFCC, testified before the Federal Capital Territory (FCT) High Court in Apo on Monday. He appeared as the third prosecution witness in the ongoing trial of Agunloye, who faces a seven-count charge including conspiracy, forgery, disobedience of presidential directive, and receiving gratification related to the 3,960MW Mambilla hydroelectric power station contract.

The EFCC alleged that Agunloye unlawfully awarded the contract to Sunrise Power and Transmission Company Limited and received N5.212 million in 2019 through his Guaranty Trust Bank account, allegedly sent by Jide Abiodun Sotirin on the instruction of Leno Adesanya, Sunrise Power’s promoter. Agunloye has pleaded not guilty.

Babangida told the court that initial recommendations had suggested a 25 percent federal stake in the project, valued at about $1.5 billion. However, the contract awarded by Agunloye in 2003 reduced the government’s participation to between zero and 10 percent.

The witness said this unilateral reduction amounted to a $900 million difference, but rejected the claim that it represented savings for the government.

The EFCC investigator further stated that Agunloye explained the N5.2 million payment was meant to cover medical expenses for his son abroad. Babangida noted, however, that the EFCC could not confirm whether the surgery took place and that portions of the funds were transferred to other individuals, whose roles in the alleged medical transaction were unclear.

During cross-examination, Babangida admitted that a key questionnaire from former President Olusegun Obasanjo did not include the names of its preparers, was unsigned, and undated.

He also said he was unsure whether the Bureau of Public Procurement existed when the contract was awarded in 2003.
The trial continues under Justice Jude Onwuegbuzie.