$2.7bn Mambilla Arbitration Saga: Ex-AGF Malami Denies Role In Alleged Corrupt Settlement

Former Attorney-General of the Federation and Minister of Justice, Abubakar Malami, SAN, has rejected allegations of a corrupt arrangement with the promoter of Sunrise Power and Transmission Company Limited, Leno Adesanya, over settlement negotiations concerning the Mambilla Hydroelectric Power Project.
Malami, through his Special Assistant on Media, Mohammed Bello Doka, also welcomed Nigeria’s successful defence in the arbitration proceedings instituted by Sunrise, urging Nigerians to consider the tribunal’s findings alongside the complete documentary and evidentiary record.
The statement came amid extensive public discussion of the 616-page arbitral award and reports concerning the settlement negotiations, presidential approval, communications between Malami and Adesanya, and an alleged agreement involving a share of money that Sunrise would receive.
Reports indicate that the Economic and Financial Crimes Commission (EFCC) has setup a team to probe individuals mentioned in alleged illicit deals in the Mambilla Power Project. Besides Malami, others mentioned in the alleged illicit deals include former Vice President Atiku Abubakar, his then-wife Jennifer Douglas, Abubakar Malami, Olu Agunloye, Sambo Dasuki, his son Abubakar Dasuki, Abdullahi Yola, and Dere Awosika.
Recall that last Thursday, the International Arbitration Tribunal under the auspices of the International Chamber of Commerce (ICC) in Paris, rejected the claim in the arbitration instituted by Sunrise Power and Transmission Company Ltd (Sunrise) against Nigeria.
The company made the claim over disputes associated with the development of the 3,960 MW Mambila Hydroelectric Power Project in Taraba State. It demanded $680 million as a settlement sum and interest in respect of another arbitration in which it is claiming over $2.7 billion in compensation and interest.
However, the former Attorney-General, while explaining his role in the saga, said the issues required careful distinction between an arbitral determination and a criminal conviction.
“We nevertheless consider it necessary, in view of the extensive reports and interpretations presently circulating in the media, to distinguish carefully between the outcome of an international commercial arbitration, findings and observations made by an arbitral tribunal for the purpose of determining the claims before it, and a criminal adjudication against an individual,” the statement said.
“The proceedings were commercial arbitration proceedings between parties to a dispute. They were not a criminal prosecution of Abubakar Malami, SAN, and the award does not constitute a criminal conviction of him.”
The statement, however, acknowledged the seriousness of the issues reportedly contained in the award.
“We are conscious that serious findings have been reported from the 616-page award, including findings concerning the settlement and Addendum, presidential approval, communications between Malami and the promoter of Sunrise, Mr. Leno Adesanya, and an alleged corrupt arrangement,” it said.
“Those matters should not be ignored, trivialised or answered by speculation.”
Malami’s office said it would respond comprehensively after examining the complete award and the underlying records, arguing that individual extracts circulating publicly should not be treated as a substitute for the tribunal’s full reasoning.
“Equally, findings of that gravity should be considered against the complete evidentiary and documentary record, rather than through selected passages circulating in the media, particularly where the extracts were neither the findings nor reason for the decision of the tribunal,” the statement said.
“A comprehensive response to every finding attributed to the tribunal will therefore follow a careful examination of the complete award and the underlying records.”
Dispute predates Malami
The statement also sought to place the Mambilla dispute in its historical context, stressing that the controversy predated Malami’s tenure as Attorney-General.
“The Mambilla contractual controversy did not originate during Malami’s tenure as Attorney-General,” it said.
“Its history stretches back to 2003, when Sunrise Power and Transmission Company Limited became involved in the proposed hydroelectric project. Subsequent decisions concerning the project resulted in litigation and competing contractual claims long before Malami assumed office.”







