Obasanjo, Buhari, Fashola testify in Paris over $6 billion Mambilla power project arbitration

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Obasanjo, Buhari, Fashola testify in Paris over $6 billion Mambilla power project arbitration

Obasanjo, Buhari, Fashola testify in Paris over $6 billion Mambilla power project arbitration Former Nigerian Presidents Olusegun Obasanjo and Muhammadu Buhari, along with ex-Minister of Power, Works, and Housing Babatunde Fashola, have appeared in Paris to testify in an international arbitration over breaches of the $6 billion Mambilla Hydroelectric Power Project contract.

6President Bola Tinubu, in a statement on Saturday, January 18, praised the efforts of those defending Nigeria, emphasizing their commitment and patriotism. He asserted his decision to keep the case free from undue political involvement. The dispute centers on allegations that Nigeria violated a contract awarded in 2003 to Sunrise Power and Transmission Limited.

The deal, initiated during Obasanjo’s administration, aimed to construct a 3,960-megawatt hydropower plant on a Build, Operate, and Transfer (BOT) basis. Obasanjo has accused his then-Minister of Power and Steel, Dr. Olu Agunloye, of awarding the contract without Federal Executive Council (FEC) approval, fraudulent activities. Agunloye, however, denies these claims, insisting the contract was lawfully awarded. During Buhari’s tenure, the government moved to cancel the agreement with Sunrise Power in April 2020.

This action prompted Leno Adesanya, CEO of Sunrise Power, to initiate arbitration proceedings, accusing Nigeria of breaching contractual obligations.

The Economic and Financial Crimes Commission (EFCC) sought to arrest Adesanya on charges of bribery and economic sabotage. Adesanya denied the allegations, arguing that the accusations were an attempt to scapegoat him for Nigeria’s failure to honor the contract.

A Federal High Court in Abuja, presided over by Justice Inyang Ekwo, barred the EFCC from prosecuting Adesanya and ordered the removal of his name from the commission’s wanted list. However, the Appeal Court later stayed the execution of this judgment.

Agunloye currently faces prosecution by the EFCC on seven charges of corruption and fraudulent conduct related to the project. President Tinubu, through his Adviser on Information and Strategy, Bayo Onanuga, reiterated his administration’s support for those defending Nigeria in the arbitration. He commended their integrity and emphasized that their efforts were driven by national interest rather than external pressures.

The Mambilla Hydroelectric Power Project, once envisioned as a cornerstone of Nigeria’s energy strategy, remains embroiled in legal and political disputes, with its future uncertain amid ongoing arbitration and controversy.

“The attention of the Presidency has been drawn to some fake news on social media about an arbitration proceeding in Paris to which the Nigerian Government is a party,” Onanuga said. “The private proceeding, which should not have been reported in the media, is entirely confidential until the international arbitrators decide.

“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. “All the eminent Nigerians involved in Nigeria’s defence are doing so willingly and out of sheer patriotism and conviction. “President Tinubu and the entire country are grateful to them,” he added

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