MTN Sues Central Bank, Attorney-General Over Imposition of Fines

Telecoms company, MTN Nigeria has filed a suit against the Central Bank of Nigeria and the attorney-general of the federation to seek a restraining order.
It is seeking an injunction to protect its assets and shareholder rights.

In a statement by MTN, the company said it continues to “categorically and unequivocally” deny all charges related to investigations by the CBN and AGF into the company’s CCIs and unpaid taxes respectively.
The company said it would continue to engage with the relevant authorities on issues.
Tobe Okigbo, MTN Nigeria Corporate Relations Executive, in a statement said, “The allegations being made involve issues that appear to be complex and so are easily misunderstood and misinterpreted. They are made even more confusing when the relevant authorities send conflicting messages and instructions and act in a way that appears un-coordinated and at cross purposes.
“The simple reality is that MTN Nigeria has never repatriated dividends on the CCIs referenced by the CBN and that MTN is fully compliant with Nigerian tax law.

“With situations like this, it is vital for both the government, regulators and the company to have absolute clarity on the nature of both the allegations being made and the processes that are being followed. In the absence of this clarity, our only option is to seek judicial intervention and to ask the courts to act as adjudicator. This has been done today.”
The company is, therefore, asking the Federal High Court in Lagos to grant an order restraining the CBN and the office of the AGF from taking further actions with regards to the case until all efforts at resolving the issue has been exhausted.

The CBN had alleged improper dividend repatriations by MTN Nigeria and requested that $8.1 billion be returned to the coffers of the banking regulator.
While, The AGF said the telco had unpaid taxes on foreign payments and imports, approximately $2.0 billion.

Members of the Premium bread makers association of Nigeria want the federal government to address all contending issues that can lead the industry to extinction.
According to them, the 106 percent increase in the price of baking ingredients between the year 2015 -2018 is gradually killing the bakery business.

September 11, 2018