MTN, Nigeria reach agreement on landmark fine

June 10, 2016 11:32 am0 commentsViews: 14

MTN logoJOHANNESBURG, (CAJ News) – MTN has reached a deal with the Nigeria Government regarding the N330 billion (US$3,2 billion) regulators imposed on it last year.

Through the deal, MTN will pay the amount over three years beginning with N30 billion in July.

A similar amount will be paid in March 2017, with the company then paying four traches of N55 billion in March 2018, December 2018, March 2019 and December 2019.

The Naira 50 billion paid in good faith and without prejudice by MTN Nigeria on 24 February 2016 forms part of the monetary component.

Further to the announcements to shareholders regarding this matter, the company said MTN Nigeria subscribes to the voluntary observance of the Code of Corporate Governance for the Telecommunications Industry and will ensure compulsory compliance when the said code is made mandatory for the Telecommunications Industry.

“MTN Nigeria undertakes to take immediate steps to ensure the listing of its shares on the Nigerian Stock Exchange as soon as commercially and legally possible after the date of execution of the settlement agreement,” MTN Group stated.

The Nigerian Communications Commission fined MTN for failing to register more than 5 million subscribers.

CAJ News

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