Tempers boiled over at the Federal Executive Council (FEC) meeting in Abuja as the united front which the cabinet hitherto presented on the non-compliance with Section 145 of the Constitution by Yar'Adua splintered.
A source said Akunyili has not resigned, but is thoroughly fed up with "the charade" and is "prepared for the worst."
She has "cleared her conscience," whatever happens, recounted the source, an aide who did not want to be named.
On January 27, the federal Attorney General and Justice Minister, Michael Aondoakaa, told Nigerians after a FEC meeting that the cabinet unanimously agreed that Yar'Adua is fit to continue in office, even with his poor health.
But Akunyili disagreed on Wednesday, to the chagrin of most other FEC members. She bared her mind in a memo which was neither accepted nor debated, but which, nevertheless, caused much uproar in the cabinet chambers.
Another source at the meeting said Akunyili - in the memo which was later withdrawn - asked her fellow Ministers to listen to Nigerians and respect the Constitution.
"We were all surprised at the memo. We did not anticipate it. But it was very frank," the source narrated.
Akunyili was said to have pledged her loyalty to Yar'Adua and his government, but insisted that it is morally wrong for him to refuse handing over power to Jonathan 72 days after he took ill and was hospitalised in Saudi Arabia.
She reportedly thanked Yar'Adua for giving her and her colleagues the opportunity to serve the country, stressing that "Yar'Adua is very dear to me and indeed to all of us."
She noted, however, the debate that has trailed his inability to comply with Section 145 of the Constitution and the sharp division of opinion nationwide.
While acknowledging the argument of those who insist that Jonathan does not need to be sworn in to act as President, Akunyili, nevertheless, noted that the country is in great danger.
The source recounted: "She pointed out that several Permanent Secretaries, including that of her ministry, are yet to be sworn in due to (Yar'Adua's) absence, thereby creating a dangerous vacuum.
"She noted that (Jonathan) cannot take any document to the Senate, and the fact that the Movement for the Emancipation of the Niger Delta (MEND) has resumed hostilities because they have been kept in limbo due to (Yar'Adua's) absence.
"Akunyili also noted the unprecedented swearing in of the new Chief Justice, Aloysius Katsina-Alu, by his predecessor, Idris Kutigi, and noted that the power vacuum created in the judiciary has compounded Nigeria's image problem.
"She observed the uncomplimentary remarks by the United States, the United Kingdom, and other European nations recently on Nigeria, insisting that all these threaten the country's economy."
In the memo, Akunyili noted that there is unanimity of opinion - as exemplified in the position of civil society groups, the Senate and the Eminent Persons Group (EPG) led by former Head of State, Yakubu Gowon, and former President Shehu Shagari - that Yar'Adua should comply with Section 145 by transmitting a letter to the National Assembly (NASS) so that Jonathan can act as President.
"We love our President but he is not infallible," Akunyili stated, faulting the argument that he may not be in a position to write the letter.
"If (he) signed the 2009 supplementary budget into law from his hospital bed in Saudi Arabia, how come he could not write the letter? Before he left Nigeria, he had the moral obligation to write that letter."
Akunyili argued that even if the mistake has been made, it behoves him to right the wrong.
She warned of a looming crisis if the impasse is allowed to persist, and advised her colleagues to do the right thing.
"The polity is overheated and posterity will judge us harshly if we fail to hearken to the voice of reason by obeying the Constitution. I wish to advise that we retrace our step because our stand on the matter is very embarrassing."
Akunyili reminded the cabinet that it is in the interest of Yar'Adua, his family, and the country for him to hand over to Jonathan, because even if he returns today, he cannot assume office immediately since he would need time to recuperate.
"If we fail to act now, history will not forgive us."
Daily Independent reliably gathered that all hell was let loose in the Council chambers, as "most of the Ministers went wild, accusing her of treachery. They insisted that the memo should not be discussed and should be withdrawn. They threatened her with sack."
After the meeting, however, about 10 Ministers went up to thank her for speaking their minds, it was leant.
Attempts to contact Akunyili were not successful, but a source said she came to her office, picked most of her personal belongings, and left.
Asked if she has resigned from the cabinet, the aide who pleaded anonymity, said no.
"But she is so disgusted with the whole charade and is prepared for the worst. She is not afraid of anything. She will go to Anambra today (Wednesday) for the election and await the next move.
"She is happy she has cleared her conscience," the aide added.