EXPLOSIVE COURTROOM DRAMA: FEC Ordered Agunloye To Withdraw $6bn Mambilla Contract Award, EFCC Witness Testifies

Fresh revelations rocked the Federal High Court in Apo, Abuja on Tuesday as a prosecution witness told the court that the Federal Executive Council (FEC) under former President Olusegun Obasanjo directed former Minister of Power and Steel, Olu Agunloye, to withdraw the memo awarding the $6 billion Mambilla Power Project contract to Sunrise Power Transmission Company Limited.
Testifying before Justice Jude Onwuegbuzie, the Third Prosecution Witness (PW3), Umar Hussein Babangida, an operative of the Economic and Financial Crimes Commission (EFCC), stated under cross-examination that FEC did not instruct Agunloye to reduce government equity participation to 10 percent, but expressly ordered him to withdraw the contract award memo entirely.
During intense cross-examination by defence counsel Adeola Adedipe, SAN, the witness dismissed legal opinions previously issued by two former Attorneys-General of the Federation.
He described as mere opinions letters written by Michael Aondoakaa and Abubakar Malami, both of which reportedly advised the Federal Government on the revival of the Mambilla contract award to Sunrise Power Transmission Company Limited due to legal implications. Malami’s letter, dated May 20, 2016, had supported Aondoakaa’s earlier position on the controversial hydroelectric power project.
Tensions rose further when defence questions relating to a 2012 settlement agreement involving the Minister of Power, the Attorney-General of the Federation, and other parties were struck out after prosecution counsel Abba Mohammed, SAN, objected. The court upheld the objection.
Another objection followed when the defence sought to question the witness on laws governing privatization in the power sector and whether federal agencies are legally required to obtain FEC approval before awarding contracts. The prosecution argued the question was speculative and violated Section 128 of the Evidence Act, emphasizing that the investigative report made no reference to any specific law and that the witness should not be compelled to interpret statutes.
Justice Onwuegbuzie subsequently adjourned the matter to Wednesday, February 18, 2026, for continuation of trial.
The high-stakes case continues to draw national attention as proceedings delve deeper into the controversial $6 billion Mambilla Power Project deal.