The former Minister of Power and Steel, Olu Agunloye, has been officially charged by the Economic and Financial Crimes Commission (EFCC) concerning alleged fraud related to the $6 billion Mambilla hydropower contract.

During a court appearance before Judge Donatus Okorowo at the Federal High Court in Abuja, Agunloye pleaded not guilty to the charges levelled against him.

Following these charges, the ex-minister has been remanded in Kuje prison until the completion of bail arrangements. The EFCC had previously issued a warrant for Agunloye's arrest on December 13, citing allegations of corruption and encouraging the public to provide any information on his whereabouts.

READ ALSO: EFCC Declares Obasanjo’s Ex-Power Minister Wanted Over $6bn Fraud

In September, reports suggested that the EFCC had traced questionable payments from Sunrise Power and Transmission Ltd to Agunloye's bank accounts. Additionally, former President Olusegun Obasanjo had challenged Agunloye to disclose the authority under which he awarded a $6 billion contract to Sunrise for the Mambilla hydropower project in 2003.

Agunloye defended his actions by asserting that the government was not obligated to make any payments to Sunrise under the build, operate, and transfer (BOT) agreement. According to him, the project was intended to be fully financed by the newly established company, and he highlighted that the company's declared assets at the time were valued at less than $2,000.