EFCC office
The third prosecuting witness, PW3, Umar Hussein Babangida in the ongoing trial of a former Minister of Power and Steel, Olu Agunloye on Monday told Justice Jude Onwuegbuzie of the Federal High Court sitting in Abuja that he has not seen any record of agreement involving China’s financial agencies, being part of the Memorandum of Understanding, MoU, for the contract award of Mambilla Power plant.
This is contained in a statement by the Economic and Financial Crimes Commission, EFCC, on Monday.
The companies include: Chinese Ministry of Foreign Trade and Economic Cooperation, MOFTEC Limited and China Import Export Bank.
During Monday’s proceedings, Pw3, Babangida, while being cross- examined by defense counsel Adeola Adedipe, SAN, on Annexure 2 of Exhibit EFCC 3d, stated that there was no record to show that MOFTEC and China Import Export bank are parties to the agreement of the MoU.
He further stated that the basis of the recommendations included the acceptance of government participation of not more than 25% which was subject to discussion at the Federal Executive Council meeting of May 21, 2003.
“Sunrise Power and Transmission Company Ltd had proposed 35% government participation, while Tafag Nigeria limited proposed 25% government participation and the then President directed that government participation should not be more than 25% for both companies, so 25% became a subject for deliberation at the FEC meeting” he said
He further confirmed that when the MoU was presented during the FEC meeting, members of the FEC supported the memorandum, adding that at the time of presentation of the MoU, N6bn had been allocated already for the takeoff of the project.
While reading the then President`s comment on the MoU, Babangida said “Minister: approved. Please, give the two same parameters i.e Federal Government participation not more than 25%. Tariff not higher than prevailing tariff of thermal plant”
Just Onwuegbuzie adjourned the matter to Wednesday, January 21, 2026 for continuation of cross examination.
