“Following the sanctions placed on MTN Nigeria by the Nigerian Communications Commission (NCC), members of the public have expressed diverse interest as to what actually transpired”.
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Nigeria has announced it will not lower a $5.2 billion (£3.3bn) fine issued to South African mobile company MTN, but extended the deadline for the payment.
The NCC confirmed the deadline extension and that MTN had admitted the breach in a letter and “pleaded for leniency”. Other companies had complied.
He said the deadline had been imposed after a meeting of representatives of all mobile network operators on August 4, where the agenda had focused on major security challenges created as a result of unregistered and improperly registered SIM cards.
The commission imposed the fine – described by many analysts as excessive punishment – after MTN allegedly failed to disconnect 5,1m unregistered Sim cards in time for an 11 August deadline. MTN got a fine of N102.2m; Globacom, N7.4m; Etisalat, N7m; and Airtel, N3.8m. The $5.2bn (over R74bn) fine is based on a charge of 200 000 naira ($1 005) for each unregistered customer.
According to the statement, the fine of N1.04 trillion (about $5.2bn) on MTN Nigeria by the Nigerian Communications Commission (NCC) was done in the interest of the public, which has been at the receiving end of security challenges.
Ojobo added that the regulations on SIM card registration were developed with the full participation of all key industry stakeholders, including all the mobile network operators.
“Shareholders are advised that the Nigerian authorities have, without prejudice, agreed that the imposed fine will not be payable until the negotiations have been concluded”.
“These discourses incorporate matters of resistance and the therapeutic measures that may must be received to address this”.
“Shareholders are educated that the official administrator concerning the organization, Mr Phuthuma Nhleko, has by and by met with the Nigerian powers to proceed with the progressing talks with them in regards to the fine”, the announcement said.
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The heavy fine sent MTN’s share price plummeting on the Johannesburg Stock Exchange and prompted the resignation of chief executive Sifiso Dabengwa.
