MTN bows to pressure, agrees to pay N1.04trn fine

While pleading for staggered payment model, MTN has
finally bowed to pressure as it has accepted to pay the
N1.04 trillion fine slammed on it last week by the
telecoms regulatory authority, the Nigerian
Communications Commission (NCC).
Accordingly, the telecoms operator was fine for violating
its directive on SIM deactivation.
This follows series of meeting held between MTN
management team from South Africa and Nigeria with the
Vice President, Prof. Yemi Osinbajo.
The telecoms operator which has largest subscriber base
in Nigeria, it was gathered, may have agreed to pay the
fine to sustain the interest of its telecoms business.
Industry sources who confirmed the new arrangement,
disclosed that the federal government is already yielding
to the plea, which according to him, was part of the
agreement reached at the series of meeting held at the
weekend in Nigeria.
“There have been series of meeting at the Presidency
between the Vice President Osinbajo and MTN team both
from South Africa and the Nigerian arm. MTN wanted a
waiver considering their level of investments in the
country, but government did not buy the idea of waiver.
Instead, I think there will be concession, but certainly not
a waiver. At the conclusion of the meeting, the MTN
people negotiated on how to stagger the payment. The
Presidency is even angry because MTN was a signatory to
the regulation, but they are failing to comply with rules.”,
the source added.
It would be recalled that NCC had said that MTN would not
escape the fine, owing to the enormity of its implication to
national security.
Although NCC had hinted that the issue is being handled
by the federal government, the telecoms authority also
noted that MTN would risk withdrawal of its licence if its
fails to comply with the fine.
Even with the widespread calls for the intervention of the
Office of the National Security Adviser (NSA), on the N1.04
trillion fine, Chief Femi Falana, a Senior Advocate of
Nigeria (SAN), had last week called on the NSA not to
intervene in the matter, adding that NCC regulation must
take its course.
NCC said it had consistently engaged Mobile Network
Operators, (MNOs) to strictly adhere to the regulations
and its business rules in the registration of their
subscribers.
Following several engagements, the Commission had
confirmed various cases of violations of the regulations
and sanctioned appropriately.