By Ojonugwa Felix Ugboja
ABUJA (Sundiata Post) The Nigeria Communications Commission has confirmed that multinational mobile telecommunications company, MTN has so far paid a total of N165 billion out of its overall N330 billion Federal Government fine.
This was revealed on Monday by Umar Garba Danbatta, Executive Vice Chairman of the commission while receiving a high power delegation from the company during their courtesy visit to Commission’s headquarters in Abuja.
The delegation was made up of Pascal Dozie, Chairman, MTN Nigeria; Phuthuma Nhleko, Executive Chairman of Board of Directors of MTN Group; Rob Shuter, CEO and President of MTN Group; Rtd Colonel Sani Bello, Vice Chairman, MTN Nigeria; Chief Victor Odili, Director, MTN Nigeria; Ferdinand Moolman, CEO MTN Nigeria and other directors.
Speaking on the famous MTN fine, Mr Danbatta stated that the essence of the fine wasn’t just about the money but about the need to ensure that due processes are followed and rules are respected.
‘’MTN has so far paid over 54% of the fine totalling about N165 billion, and even while this crisis was on-going, we restored and renewed their licenses. It is very good that we still find ways to cooperate, and we recognise their digital transformation agenda in Nigeria. Our economy is picking up again and we hope MTN is making the most out of that,’’ he said.
Based on the enormity of the fine money, NCC, in collaboration with the Federal Government, spread the payment in six tranches, after the initial N50 billion was paid. The first two tranches, which were December 2016 and March 2017, had been paid. The other four tranches are March 31, 2018 (N55 billion); December 31, 2018 (N55 billion), March 31, 2019 (N55 billion) and May 31, 2019 (N55 billion).
NCC had in October 2015, fined MTN N1.04 trillion for its failure to disconnect 5.2 million improperly registered lines within the prescribed deadline. After much plea on the part of MTN management for a reduction in the fine, it was subsequently reduced by 25 per cent to N780 billion, an amount that MTN considered still inimical to the survival of its telecoms business.
MTN Nigeria subsequently sought judicial determination as a means of protecting the local ecosystems valued and supported by MTN’s business, but later withdrew the case and continued with its plea bargain, which eventually led to further reduction of the fine to N330 billion and the payment spread in six tranches.
Negotiations on payment of the fine lasted eight months and saw both parties going in and out of the court.
