• Payment deadline lapses today
The Federal High Court in Lagos has refused to grant an ex-parte application by the Incorporated Trustees of National Association of Telecommunications Subscribers (NATCOMS) against the Nigerian Communications Commission (NCC) over the N1.4trillion fine imposed on MTN.
Justice Mohammed Idris declined to make interim orders, but asked the plaintiffs to serve the defendants with the motion on notice.
The judge also abridged the time for hearing and granted an order for the plaintiffs to serve the respondents outside Lagos.
The association and its President Oluyinka Oyeniji (who sued for themselves and on behalf of MTN subscribers), sought an injunction restraining NCC from “exerting, enforcing and further imposing or enforcing any sanctions on the second respondent (MTN) especially the sum of N1.4trn.”
NCC had imposed the fine on MTN over its alleged harbouring of some 5.2million pre-registered subscriber identity module (SIM) cards on its network. The telco has today as deadline to pay the fine, failure of which it might face stiffer sanctions from the regulator.
Efforts by the telco to reach an amicable settlement with the regulator appeared to have fallen through while the Group Chief Executive Officer, Mr. Sifiso Dabengwa had resigned his position last week. This development had fuelled calls by stakeholders in the telecoms sector, on its Nigeria CEO, Mr. Michael Ipkoki, to resign his appointment too.
The plaintiffs also sought to restrain MTN from making any payments regarding the N1.4trillion penalty pending the determination of the Motion on Notice.
They prayed for an order for parties to maintain status quo (which means nonpayment of any sanctions or penalty regarding the deactivation of subscribers pending the argument of the substantive suit).
Among others, the plaintiffs sought an order mandating NCC to render documentary evidence of accounts showing the fines imposed on MTN and other telecommunications operators, including their appropriation and disbursement from 2002 till date.
In an originating summons, the plaintiffs sought a declaration that both NCC and MTN are statutorily responsible for the registration of telephone subscribers based on NCC (Registration of Telephone Subscribers) Regulations, 2011.
They prayed the court to declare that NCC failed in its statutory duties to conduct monthly updates of the central database from 2011 till 2015, and to efficiently maintain it despite “huge sums” of money deployed.
The plaintiffs asked the court to declare the N1.4trillion fine as illegal, unconstitutional, null and void because NCC cannot unilaterally impose and/or exert any fine on a telecoms firm without a court’s order after conviction for an infraction.
NATCOMS also wants to the court to hold that NCC cannot be a judge in its own case by imposing a fine on MTN.
The plaintiffs sought orders mandating NCC to onduct monthly updates on the central database; to conduct rigorous campaigns for telephone subscribers to update their particulars; to apologise to subscribers for failing in its duties; to account for all the fines it had imposed on telecoms operators; and to utilise fines imposed upon conviction as compensation to telephone subscribers.
They sought N10million as cost of the action.
In a supporting affidavit, Oyeniji said subscribers had volunteered their details before now to the respondents. Besides, he said NCC has not accounted for previous fines.
“I am aware that the dispute resolution procedure of the NCC Act, 2003 have not been followed by the first respondent and the latter itself is culpable having failed to guarantee the integrity and incorruptibility of the Central Database from 2011 until the end of 2015,” he said. Justice Idris adjourned till November 19 for hearing.
