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Court okays FCCPC’s probe of MTN

By Adeyemi Adepetun
10 February 2025   |   5:37 am
Justice Friday Ogazi of the Federal High Court in Lagos State has affirmed that the Federal Competition and Consumer Protection Commission (FCCPC) has statutory authority to regulate competition and consumer protection across all sectors, including telecommunications.
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Justice Friday Ogazi of the Federal High Court in Lagos State has affirmed that the Federal Competition and Consumer Protection Commission (FCCPC) has statutory authority to regulate competition and consumer protection across all sectors, including telecommunications.

 
It told Emeka Nnubia, a shareholder of telecommunications company, MTN, that he (Nnubia) was “wailing more than the bereaved” for attempting to prevent FCCPC from investigating the telco.
  
However, while MTN apologised to its customers, especially in Lagos, its services are still at snail speed. On December 1, 2024, the FCCPC, the federal agency regulating and enforcing customers’ rights, announced that it was launching an investigation into consumer complaints against MTN and other private companies.
  
Nnubia was uncomfortable with that regulatory decision as a shareholder of MTN; hence, he approached the court to halt the inquiry. He argued that such an inquiry could violate the Nigeria Data Protection Act and the guidelines for disclosure to public authorities.
 
He also argued that the power to regulate MTN resided in the Nigerian Communications Commission (NCC) and not FCCPC.Additionally, he said the data requested by FCCPC constituted personal data and could not be subject to disclosure.
 
On Friday, the judge ruled that they failed to disclose any reasonable cause of action. More importantly, the court wondered how the planned inquiry affected the plaintiff when the FCCPC neither commenced the investigation against Nnubia nor requested any of his data.
 
Before ruling on the substantive suit, the court upheld the FCCPC’s preliminary objections raised by Abimbola Ojenike and Oluwadamilola Omotosho of Slingstone LP, who were its lawyers, contending that the suit commenced without giving it a statutory pre-action notice and challenging the rights of the plaintiff to initiate the case in the first instance.
 
Nnubia, who is also a legal practitioner, represented himself in the case. Chinonso Ekuma, a legal practitioner, represented MTN as the 3rd defendant.
The court affirmed the FCCPC’s authority as the primary agency regulating companies’ anti-competitive practices and ensuring no company unfairly enjoys a dominant market position.
 
“The court stated that FCCPC is the primary authority responsible for regulating anti-competitive practices in Nigeria. The commission’s objectives under Sections 17 and 18 of the FCCPA include preventing the abuse of dominant position and anti-competitive practices,” said Ojenike at the weekend. “Considering that MTN is one of the largest providers of telecommunication services in the industry, it is necessary for the 2nd defendant to exercise its regulatory oversight, especially because the telecommunications industry is central to the Nigerian economy.”
   
According to him, Section 90 of the Nigerian Communications Act 2003, purportedly vesting NCC with exclusive jurisdiction regarding competition in the telecommunication industry, must be read in consonance with the provisions of Section 104 of the FCCPA 2018, which is the later legislation.
 
The court also grounded its judgment in some specific provisions of the FCCPA, holding that the NCC and the FCCPC share a concurrent regulatory oversight in the telecom industry in line with practices in other jurisdictions.
MILLIONS of MTN customers, especially those in Lagos, at the weekend, experience serious service disruptions, which led to slow Internet services, undelivered SMS, and failed calls, among others.
 
The outage sparked widespread complaints on social media, with customers expressing frustration over the prolonged downtime. The disruption also had a ripple effect on financial transactions, as many Nigerians rely on mobile networks for banking and payments. 
 
Many MTN users took to social media platforms at the weekend to vent their frustrations. For instance, Sir David Onyemaizu tweeted on #SirDavidBent, “MTN should stop telecommunications and turn their offices into canteens. A rubbish network.”
   
Another user, Anime Queen@layzeeloli, wrote: “MTN, Airtel and Glo are very lucky they’re probably the only network industry that we can afford. I wish one mind-blowing network would come out and put them out of business, maybe they’ll sit up. I need an Opay version of network providers. All these mid networks dey tire me.”
 
But in an SMS to subscribers at the weekend, the telecoms giant acknowledged the inconvenience caused by the outage. The message read, “Dear customer, we sincerely apologise for the challenges experienced with Internet services yesterday in parts of Lagos State. This has been resolved, and services are fully restored. Thank you for your understanding.”
 
Despite this, as of yesterday, SMS were still not getting delivered as they should, and Internet speed was still slow. MTN, according to NCC, is the largest operator in the country with 84 million subscribers as of December 2024 and 51.4 per cent market penetration.

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