An Abuja High Court has heard that former Minister of Power, Dr Olu Agunloye, was not in office when former President Olusegun Obasanjo approved key decisions for the Mambilla Hydroelectric Power Project.
The testimony came from Assistant Commissioner of Police Umar Babangida, who appeared as the third witness for the Economic and Financial Crimes Commission (EFCC) before Justice Jude Onwuegbuzie. Agunloye is standing trial on a seven-count amended charge, including allegations of disobeying presidential directives and receiving illicit payments.
Under cross-examination by Agunloye’s lawyer, Adeola Adedipe, SAN, Babangida confirmed that the Federal Government signed a Memorandum of Understanding with North China Electric Power Design/North China Power Group in July 2002 for the execution of multiple power projects, including the Mambilla scheme.
He said the MoU was signed by the then Minister of State for Power and Steel, Alhaji Murtala M. Aliyu, and that the ministry had attested to the competence of the Chinese firm. Babangida stated clearly that Agunloye was not minister at the time.
He also referred to a letter written by then Minister of Power and Steel, Dr Olusegun Agagu, on 20 November 2002, seeking Obasanjo’s approval for the expanded 3,960MW Mambilla project. In the letter, Agagu recommended negotiations with Sunrise Power and Transmission Company Limited (SPTCL) and Tafag Nigeria Limited, identifying seven firms that had expressed interest.
Babangida told the court that SPTCL’s technical partner was North China Power Group — the same company the government had earlier endorsed. He added that Agagu proposed a 35 per cent government equity stake, but Obasanjo approved the submission while reducing the equity level to 25 per cent.
“To be clear, the defendant was not the Minister of Power and Steel at that time,” the witness said.
The court adjourned the proceedings until Thursday for continuation of the cross-examination.
Prosecutors allege that Agunloye conspired with Leno Adesanya of Sunrise Power to forge a letter awarding the 3,960MW project under a build-operate-transfer arrangement. He is also accused of receiving ₦5.21 million as gratification through an intermediary into his Guaranty Trust Bank account. Agunloye denies the charges.
