In a move that might be a tie breaker in the headlock with the Federal Government of Nigeria and the Nigerian Communications Commision(NCC), MTN has withdrawn it’s suit against the Federal Government. It would be recalled that MTN Nigeria has been locked in a legal tussle with the NCC for a long while now as regards the hefty fine slammed on them by the commission for not adhering to its directives.
As the deadline for the payment drew near, MTN Nigeria went ahead to file a suit against the NCC on the 31st of December 2015, later requesting an out of court settlement.
According to a report by The Cable, the telecommunication giant finally withdrew the suit on Wednesday and also paid N50 billion “as a gesture of good faith” towards an amicable resolution of the fine imposed on the company . The case at the federal high court in Lagos was withdrawn in response to a request by the Nigerian authorities.
Speaking on the withdrawal, Ferdi Moolman, the CEO of MTN Nigeria said
“This is a most encouraging development. It demonstrates a willingness and sincerity by both parties to work together towards a positive outcome.”
In February, Adebayo Shittu, Nigeria’s Minister of Communication while commenting on the fine said Nigeria did not mean to kill MTN, but that law and order should not be respecter of anybody or entity. So the move by MTN to settle amicably might be an agreed solution to the troubles they have been facing as a result of the fine in recent times.
Speaking further on the development, the CEO of MTN said
“We are hopeful at this stage. Along with the authorities, it is clear that we are collectively committed to working towards a solution that is of mutual benefit to all parties. Our industry in Nigeria is an incredibly important example of the remarkable progress in ICT particularly as a much needed catalyst for socio-economic growth and development at this time.”
As much as we are happy for MTN we hope it would serve as a deterrent to future offenders and signal the seriousness of the present administration in enforcing sanity.
Nigerian startups raised $17.6m in Q1 2019, 8.5% higher than they did in Q1 2018. Find out more in the latest quarterly edition of the Nigerian Startup Funding Report here.