Breaking: MTN to fight record fine in court

December 17, 2015 5:00 pm4 commentsViews: 11

Justice symbolJOHANNESBURG, (CAJ News) – MTN is taking the legal route in its efforts to have its landmark fine imposed on its Nigeria subsidiary reviewed.

The company said, acting on legal advice, it had resolved that the mannerof the imposition of the fine and the quantum thereof was not inaccordance with the Nigeria Communications Commission’s powers under the Nigerian Communications Act.

MTN therefore argued there were valid grounds upon which to challenge the fine.

“Accordingly MTN has followed due process and has instructed its lawyersto proceed with an action in the Federal High Court in Lagos seeking the appropriate reliefs,” the company stated from Johannesburg.

MTN said it was advised that in the current circumstances in line with thelis pendens rule (pending legal action) the parties are enjoined torestrain from taking further action until the matter was finally determined.

“This is consistent with previous judicial decisions in Nigeria,” thecompany said.MTN said notwithstanding this action the Company will continue to engage with the Nigerian Authorities to try and ensure an amicable resolution inthe best interests of the Company, its stakeholders and the Nigerian authorities.

“Shareholders are therefore advised to continue to exercise caution when dealing in the Company’s securities until a further announcement is made.”

NCC fined MTN Nigeria N1,04 trillion (US$5,2 billion) for failure todisconnect over 5 million unregistered subscribers.

CAJ News

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