FORMER Nigerian Presidents Olusegun Obasanjo and Muhammadu Buhari have testified before the International Chamber of Commerce Court of Arbitration in Paris, France, stating that the Federal Government never awarded a contract for the $6 billion Mambilla Power Project to Sunrise Power.
They disputed claims made by Sunrise Power and its founder, Chief Leno Adesanya, who are seeking $2.3 billion in compensation for an alleged breach of contract by the Federal Government, The Nation reports.
Obasanjo and Buhari argued that the 2003 agreement, which Sunrise Power based its claims on, is invalid. They claimed that the agreement was signed by former Minister of Power, Dr. Olu Agunloye, 24 hours after the Federal Executive Council rejected the contract award to Sunrise Power. Agunloye is currently facing trial for forgery, disobedience, and corruption related to the power project.
The Economic and Financial Crimes Commission (EFCC) has accused Agunloye of awarding the contract without budgetary provision, approval, or cash backing. However, Agunloye claims that the government is using him as a scapegoat to undermine Sunrise Power’s claims.
The testimonies of Obasanjo and Buhari were corroborated by other high-ranking officials, including Justice Minister Lateef Fagbemi, former Minister of Power Babatunde Raji Fashola, and former Minister of Water Resources Engr. Suleiman Adamu.
According to The Nation, citing a source at the proceedings, both Obasanjo and Buhari defended the “interest of Nigeria,” informing the court that the former minister signed the contract after the Federal Executive Council had disapproved the contract award.
“It is very important for nation’s case that the Minister of Justice and Attorney-General of the Federation, Lateef Fagbemi, was successful in bringing two former presidents – Chief Olusegun Obasanjo and Muhammadu Buhari to testify at the hearing,” the source added.
“By this action, the government of Nigeria sent a signal of its strong commitment to defending the nation’s interest.
“Both leaders-Obasanjo and Buhari-are known for speaking forthrightly and unequivocally, and this they were said to have exhibited in Paris.
“To the delight of the international team of lawyers representing Nigeria, the two past presidents did extremely well, exposing the Sunrise/Leno’s claim for what it is: an attempt at using fraud, deceit and lies to scoop settlement from Nigeria in the first instance, for the alleged violation of a 2003 contract for which there is no valid approval.”
The source branded Nigeria’s witnesses as “Team Nigeria” and united.
“It was by and large a great showing, consolidated by the equally outstanding testimonies of former ministers Engineer Sulaiman Adamu, formerly of Water Resources, and Babatunde Raji Fashola, Power.
“The Arbitration Court in France had a week-long hearing 18th-23rd January in Paris on the ongoing dispute between Sunrise Company/Leno Adesanya and the government of Nigeria on the existence or the absence of a contract for the construction of the Mambilla Power Project.
“Although it is up to the chairman and other members of the tribunal to decide on who is right and who is wrong, it can be said at this point that Nigeria had a very good outing on the basis of certain facts that have emerged from Paris.”
The source said Sunrise and Leno Adesanya has not been able to produce any major witness.
The source added: “It is evident from the proceedings that the case of the complainants was rooted in a purported 2003 agreement.
“The 2003 contract was established not to have been validly in existence. This is worsened by the fact that the complainants failed to produce their major witnesses.
“The much-touted appearance of a one-time Minister of Power, Dr. Olu Agunloye, did not also materialise. He was the one who allegedly signed a letter communicating the approval of the contract 24 hours after its rejection by the Federal Executive Council (FEC) which meeting was presided over by Obasanjo.
“A third ‘key witness” a Senegalese lady, did not also appear at the hearing.
“So who spoke for Sunrise/Leno Adesanya? “He did everything for and by himself.
“Another major setback suffered by the complainants was their over-reliance on an earlier witness statement deposed to by Abubakar Malami, Minister of Justice and Attorney General under President Buhari.
“Malami, on whose testimony the complainants made heavy weather, ended up lining up behind his former boss, President Buhari, to support and prepare him well for his (Buhari’s) testimony.
“This strategy had the dual benefits of ensuring Buhari’s successful testimony and at the same time pulling the rug from under Leno Adesanya’s feet.”
Obasanjo earlier 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.
“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.
“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 Mambilla 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”.
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 Agunloye just a day after the Federal Executive Council (FEC) reportedly 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.
