Former Attorney-General of the Federation and Minister of Justice, Abubakar Malami, has rejected allegations of corruption in the Mambilla arbitration. Malami stated that the international arbitration award should not be interpreted as a criminal conviction. His position was made known in a statement issued by his Special Assistant on Media, Mohammed Bello Doka. The statement followed reports on the 616-page arbitral award, which contained adverse findings concerning Malami's role in negotiations with Sunrise Power and Transmission Company Limited.
Malami emphasized that the proceedings were commercial in nature and did not amount to a criminal prosecution. He said the award did not constitute a criminal conviction. However, he acknowledged the seriousness of the reported findings, saying they should be examined against the complete evidentiary and documentary records. Malami noted that the Mambilla dispute predated his appointment as Attorney-General and had its roots in events dating back to 2003.
According to Malami, previous Attorneys-General and administrations had dealt with the dispute. Former AGF Michael Aondoakaa had reviewed the matter and recommended an amicable resolution. Malami cited the November 2012 General Project Execution Agreement involving Sunrise and Sinohydro as evidence that efforts to resolve the controversy predated his tenure. He stated that he inherited a longstanding dispute that had traversed previous administrations, Attorneys-General, ministries, and contractual arrangements.
Malami's involvement in the matter followed governmental and presidential processes, including a directive communicated by the then Chief of Staff to President Muhammadu Buhari in April 2016. The Ministry of Justice's role was primarily to advise the Federal Government on its legal exposure and options for resolving the dispute. The unresolved dispute later became an issue in efforts to finance the Mambilla project, including discussions involving China Exim Bank.
During negotiations in London in November 2019, Sunrise initially demanded $500 million as full and final settlement, while the Federal Government countered with $100 million before $200 million emerged as a proposed settlement figure. Malami stressed that Buhari never approved payment of the proposed $200 million settlement. The former President indicated on April 20, 2020, that the Federal Government did not have the money to make the payment.
Malami denied wrongdoing, rejecting any suggestion that his official actions were undertaken pursuant to a corrupt agreement or in exchange for personal financial benefit. He said the allegation should be tested against the complete evidence, including whether he ever received money or any other financial benefit from Sunrise, Adesanya, or any related entity. The statement also referred to reports that Adesanya claimed to have audio or video recordings relevant to his allegations.
Malami welcomed Nigeria's victory in the arbitration, which resulted in the country defeating Sunrise's substantial financial claims. The Federal Government has said the tribunal rejected Sunrise's claims and awarded substantial costs in Nigeria's favour. Malami said he remained pleased whenever Nigeria's legal interests and public finances were protected. Nigeria's victory should be welcomed, and findings concerning the conduct of former public officials should be carefully examined and answered on the evidence.
Key points
- Malami rejects alleged corruption findings in Mambilla arbitration.
- The arbitration award does not constitute a criminal conviction.
- Malami welcomes Nigeria's victory in the long-running dispute with Sunrise Power and Transmission Company Limited.
