I Volunteered To Testify Against Agunloye At Mambilla Power Project Arbitration In France, Not At Tinubu’s Request –Obasanjo
Obasanjo emphasized that his decision to testify was not influenced by President Bola Tinubu or any government official.
Former President Olusegun Obasanjo has revealed why he testified at the ongoing arbitration for the controversial $6 billion Mambilla Power Project in France.
According to Obasanjo, in an exclusive interview with PREMIUM TIMES from Paris, he volunteered to testify to counter “atrocious” claims made by former Minister of Power, Olu Agunloye, regarding the project’s contract award.
Agunloye is on trial in Nigeria for alleged fraud related to the contract.
Obasanjo emphasized that his decision to testify was not influenced by President Bola Tinubu or any government official. Instead, he wanted to set the record straight about the contract, which was awarded during his administration in 2003.
The arbitration is between the Nigerian government and Sunrise Power and Transmission Company Limited, which claims it was awarded the contract to build and operate the Mambilla power plant. The company is demanding $2.3 billion in compensation for breach of contract.
Obasanjo’s testimony follows that of former President Muhammadu Buhari, who also testified in the arbitration. The outcome of the arbitration could have significant implications for Nigeria, which risks paying substantial damages if Sunrise Power’s claims succeed.
“I volunteered myself to testify in this case. Nobody sent me to do so. President Tinubu did not ask me to do so as speculated. I didn’t speak to anybody on my intention to testify,” Mr Obasanjo said.
Buhari, Obasanjo To Testify In Paris Court On $2.3Billion Mambilla Arbitration Case Filed By Sunrise Against Nigeria
Jan 19, 2025
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“I decided to testify because of the statement made on the matter by Olu Agunloye. I considered his claims atrocious and thought it necessary to set the records straight.”
TheCable earlier reported that former President Buhari and Obasanjo were set to testify in the $2.3 billion arbitration case brought against Nigeria by Sunrise Power at the International Chamber of Commerce (ICC) in Paris, France.
BACKGROUND
The case involves allegations of contract breach by the federal government.
The case revolves around the Mambila power generation and distribution contract awarded to Sunrise Power and Transmission Company of Nigeria in 2003.
Last week, the Tinubu Presidency refuted claims that Buhari was pressured to testify, stating that he did so willingly and out of patriotism.
An online news platform earlier reported that former President Buhari had been summoned to a court in Paris to testify in an arbitration case related to the $6 billion Mambilla power project dispute.
The report alleged that Buhari appeared before the court last Saturday over claims of breaching the terms of a power generation and distribution contract awarded to Sunrise Power and Transmission Company of Nigeria by former President Olusegun Obasanjo in 2003.
But the Presidency in its statement denied that Buhari was forced to testify in the Paris court, describing it “fake news”.
“While respecting the confidentiality of the proceeding, we wish to state categorically that President Bola Tinubu has not forced anyone to testify for or to refrain from testifying against Nigeria,” it said.
“All eminent Nigerians involved in Nigeria’s defence are doing so willingly and out of sheer patriotism and conviction.
“President Bola Tinubu and the entire country are grateful to them.”
Meanwhile, according to the report, Michael Aondoakaa, a former Attorney-General of the Federation (AGF), who had previously filed a witness statement in support of Sunrise, had abruptly left Paris, reportedly claiming he was summoned back to Nigeria by President Tinubu.
Sources indicated the move might be part of a broader strategy by the Sunrise team to allege witness intimidation by the Nigerian government and garner sympathy from tribunal members.
However, a presidency official told TheCable on Sunday that Aondoakaa was not summoned by President Tinubu.
Sunrise Initiates Case At International Court
Meanwhile, Sunrise Power is pursuing arbitration against Nigeria at the ICC International Court of Arbitration in Paris, seeking $2.3 billion in compensation for the government’s failure to honor the contract.
The contract was awarded by former Minister of Power and Steel, Olu Agunloye just a day after the Federal Executive Council (FEC) directed him to withdraw the memo.
On October 10, 2017, Sunrise initiated arbitration against Nigeria at the ICC International Court of Arbitration in Paris, seeking $2.354 billion in damages for “breach of contract” related to a 2003 agreement to construct the 3,050MW Mambilla power plant in Taraba State on a “build, operate, and transfer” basis, valued at $6 billion.
In a second arbitration, the company is demanding $400 million as compensation for the Nigerian government’s failure to honor the terms of a 2020 settlement agreement intended to resolve the dispute.
EFCC’s Case Against Olu Agunloye
In court papers, the Nigerian government disclosed how the promoter of Sunrise Power and Transmission Company, Leno Adesanya, allegedly lured ministers in then President Buhari’s administration with money and women in an attempt to secure favourable recommendations on the $6 billion Mambilla hydroelectric power project.
The Nigerian government made the detailed revelation in papers filed before a High Court of the Federal Capital Territory (FCT), Abuja by the Economic and Financial Crimes Commission (EFCC).
In his motion on notice, former Minister of Power and Steel, Olu Agunloye, included documents in which the Nigerian government accused Adesanya of offering bribes and women to ministers in Buhari’s administration to secure favorable recommendations for the $6 billion Mambilla hydroelectric power project.
The Nigerian government has accused public officials of fraud and corruption in both the original contract award and subsequent settlement agreements related to the dispute.
In a motion on notice dated February 26, 2024, and marked FCT/ABJ/CR/617/2023, Agunloye included Nigeria’s defense in the arbitration.
The defence alleges that Adesanya repeatedly attempted to exploit the country and fraudulently extract large sums of money under false pretenses.
The document obtained by TheCable said, “Mr. Adesanya repeatedly sought to undermine Nigeria’s defence of this Arbitration by all means possible without regard to legality. As detailed below, Mr. Adesanya attempted to bribe the former Minister of Water Resources, Mr. Suleiman Adamu, in the lead-up to the settlement meeting between Sunrise and Nigeria in London on 9 November 2019 by offering him money and women and sought to bribe the former Attorney General of Nigeria and Abubakar Malami, also with money and women, in order to take decisions favourable to Sunrise and influence Nigeria’s defence in this Arbitration.
“A look at the pictures of smiling young women whom Mr. Adesanya blithely offered to Mr. Adamu in November 2019 during the settlement discussions and latterly the Attorney General as inducements, can leave no doubt about Mr. Adesanya’s character.
“The below extract of Mr. Adesanya’s WhatsApp message to Mr. Malami with a picture of a woman in November 2021, when Mr. Adesanya was lobbying Nigeria is illustrative.”
The Nigerian government argued in the document that Adesanya is a man “who fully understands” how to game and take advantage of the weaknesses in the institutions of the Nigerian government.
The document said, “He wrongfully procures contracts that his companies are incapable of performing, colludes with key Government officials to obtain confidential Government documents, creates a semblance of credibility through document exchanges with Government officials, files claims against the Government, and then unlawfully seeks to pressure the Government to enter into settlement agreements with his companies in order to obtain a pay-out.”
In July 2024, SaharaReporters reported that a Federal High Court in Abuja had turned down an application by former minister Agunloye to travel overseas for medical attention.
The ruling was made in the context of Agunloye’s trial on alleged fraud charges involving $6 billion.
The seven-count charge, filed as FCT/HC/CR/617/22, alleged forgery, disobedience of a presidential directive, and corruption.
Specifically, the EFCC accused the former minister of awarding a contract for the construction of the Mambilla Hydroelectric Power Station to Sunrise Power and Transmission Company Limited on May 22, 2003, without requisite budgetary provisions, approvals, or financial backing.
The prosecution presented additional allegations, claiming to have identified suspicious transactions from Sunrise Power and Transmission Company Limited to the former minister’s accounts.
The defendant entered a not guilty plea in response to the charges.
In his ruling, Justice Onwuegbuzie determined that the defendant failed to provide sufficient evidence to justify his claim that his medical condition could not be treated in a Nigerian hospital.
Consequently, the judge dismissed the defendant’s application for international travel for medical purposes.
In October 2024, the EFCC altered the seven-count charges against Agunloye and advanced additional evidence against him.
Meanwhile, former President Obasanjo had expressed his willingness to testify on behalf of Nigeria in any forum regarding the controversial Mambilla power contract.
Obasanjo had challenged Agunloye to explain the source of his authority to unilaterally award a $6 billion contract to Sunrise Power and Transmission Company Limited, inviting him to clarify his actions to the Nigerian public.