EFCC Witness Alleges Agunloye Cut FG Equity in $6bn Mambilla Project Without Approval
On Monday, March 16, 2026, the third prosecution witness (PW3), Umar Hussein Babangida, testified before Justice Jude Onwuegbuzie of the Federal High Court, Apo, Abuja, in the ongoing trial of former Minister of Power and Steel, Dr. Olu Agunloye.
Babangida, an investigator with the Economic and Financial Crimes Commission (EFCC), told the court that Agunloye unilaterally reduced the Federal Government’s equity participation in the Mambilla Power Project from 25% to 10%—without presidential approval.
The EFCC is prosecuting Agunloye on an amended seven‑count charge bordering on official corruption and the fraudulent award of the $6 billion Mambilla Power Project contract to Sunrise Power Transmission Company Limited.
Under cross‑examination by defence counsel, Adeola Adedipe, SAN, Babangida recalled that the Federal Executive Council (FEC) had recommended a 25% equity stake, valued at $1.5 billion. He stressed that there was no authorisation for Agunloye to reduce the stake to 10%.
Earlier in the proceedings, Justice Onwuegbuzie ruled in favour of the prosecution, allowing the witness to clarify discrepancies between exhibits EFCC 3K and EFCC 3D. Babangida explained that both documents contained identical extracts from the FEC meeting of May 21, 2003, concerning the Mambilla Hydroelectric Power Plant, though transmitted in different formats.
He further testified that on May 22, 2003, a cabinet member was invited to provide additional context, which was documented in Exhibit EFCC 3N—a response to a questionnaire prepared for then‑President Olusegun Obasanjo by counsel from the Attorney General’s office.
The witness also disclosed that Agunloye received N5.6 million as gratification for the contract award. The funds were allegedly transferred by Jide Sotinri on the instruction of his employer, Mr. Leno Adesanya, in 2003. While Sotinri claimed in extrajudicial statements that the money was for medical surgery, bank records reflected otherwise.
Babangida added that there was no Ministerial Tenders Board in place in 2003 when the contract was awarded, only a technical committee.
Following the close of cross‑examination, Justice Onwuegbuzie adjourned the matter to March 30, 2026, for re‑examination of the witness, and to April 20, 27, and 30, 2026, for continuation of trial.
