MTN Gets Reprieve ?On $5.2b Fine | Independent Newspapers Limited
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MTN Gets Reprieve ?On $5.2b Fine

Posted: Nov 17, 2015 at 7:40 am   /   by   /   comments (0)

*As Group CEO ?Meets NCC Officials

Telecommunications giant, MTN Nigeria, on Monday said it got a reprieve for the payment of the $5.2 billion (N1.004 trillion fine imposed on it by the Nigerian Communications Commission (NCC), whose deadline expired on that date (November 16).

A statement by MTN said the reprieve followed a meeting by its South African based Group Executive chairman?, Phuthuma Nhleko? with the NCC officials.

MTN, which is listed on the Jo’bourg exchange advised shareholders that although the NCC, which regulates the Nigerian telecom industry, “set a deadline for payment of the fine by Monday, 16 November 2015, 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.?”

The reprieve is the outcome of a personal meeting between Nhleko and “the Nigerian authorities to continue the ongoing discussions with them regarding the fine of N200,000 for each unregistered subscriber, the equivalent of US$5.2 billion imposed on MTN Nigeria.

“These discussions include matters of non-compliance and the remedial measures that may have to be adopted to address this,” the statement added.


MTN, which rakes a third of its earning and profit from Nigeria, its biggest business unit yet, expressed commitment “to resolving the matter together with the NCC as soon as possible and will continue to update stakeholders of any material developments regarding the afore-mentioned fine.”

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