The trial for the Mambilla power project contract award fraud resumed on Tuesday, centering on legal opinions delivered to former Presidents Umaru Yar’Adua and Muhammadu Buhari by their respective Attorneys General regarding this controversial project.
The proceedings at the Federal Capital Territory High Court, involving former Minister of Steel and Power Olu Agunloye, were marked by a heated exchange as the defense challenged the testimony given by a prosecution witness from the Economic and Financial Crimes Commission (EFCC).
The focus shifted during the testimony of EFCC investigator Umar Babangida, who stated he could not recall whether former Attorney General of the Federation (AGF) Michael Aondoakaa, a Senior Advocate of Nigeria (SAN), had provided a legal opinion to former President Yar’Adua.
Conversely, Agunloye’s attorney, Adeola Adedipe, also a SAN, prompted Babangida to read from the investigation report, which referenced the legal opinion and Aondoakaa's recommendation to revive the Sunrise Power Transmission Company Limited (SPTCL).
Babangida testified regarding his findings but struggled under questioning from the defense about details surrounding Aondoakaa's opinion dated February 25, 2008, stating he could not remember specifics when asked if he knew that the letter denoted it was unlawful for the federal government to re-award a contract without legally terminating the earlier contract with SPTCL.
Despite objections from the prosecution, Judge Jude Onwuegbuzie allowed the defense inquiry, with the witness maintaining a lack of recollection concerning Aondoakaa's recommendation that the awarded contract be reinstated due to legal concerns.
Adedipe prompted Babangida to refer back to his investigation notes, where he acknowledged that Aondoakaa had indicated to the then President Yar’Adua the relevance of keeping the contract with SPTCL._
As the testimony progressed, Babangida reaffirmed that he did not intend to mislead the court when questioned about the AGF's opinions regarding actions taken against Agunloye.
The EFCC has charged Agunloye with fraud and forgery linked to the allegedly corrupt $6 billion Mambilla power project. The commission accuses him of accepting bribes and disregarding presidential directives during the contract’s awarding in May 2003.
The contract involved approval for a proposed 3,960 megawatts hydroelectric facility in Taraba State, which remains unrealized. Agunloye was initially arraigned in 2024, but after restructuring of the charges, he was re-arraigned in September 2025, maintaining that all allegations against him are unfounded.
This project, launched in 2003 by the Obasanjo administration, has been mired in decades of legal controversies, with ongoing international arbitration between SPTCL and the Nigerian government.
In 2023, former President Olusegun Obasanjo accused Agunloye of illegally awarding the contract without proper authorization, a claim that Agunloye has adamantly denied.
During the trial, Adedipe asked Babangida if he acknowledged the directive from the Federal Executive Council (FEC), rejecting a proposal that required the federal government to contribute $1.5 billion as equity for the controversial power project. Babangida confirmed that instead of supporting the proposal, the FEC advised exploring alternatives to mitigate the government's financial burden on the project.
During the ongoing cross-examination, the judge deferred until Wednesday for further questioning, particularly regarding the legal mandates governing the award of such contracts and their implications within the regulatory framework.
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