Why MTN Conceded Defeat in NCC Case

It is no longer news that MTN Nigeria conceded defeat in the legal action it instituted against the Nigerian Communications Commission [NCC] by seeking out-of-court settlement last Friday.

The telecom operator had filed a suit against the N780 billion fine imposed on it by NCC for failing to disconnect unregistered subscribers on its network. The fine was originally N1.O4 trillion.

The Scent of Defeat
Even as MTN Nigeria filed the legal action against the NCC last December in a media show of bravado, there was a scent of defeat in the air.

Not only was its action a Declaration of War against its own regulator, it was also a Declaration of War against the Federal Republic of Nigeria. Two key elements, indeed, that placed a heavy burden on the shoulders of MTN and its retinue of Senior Advocates of Nigeria [SANs] legal team.

A little dose of wisdom could have told the management of MTN that winning such a legal battle was difficult, if not virtually impossible.

The operator could have won the battle, but still lose the war. In another sense, they could have also won the case in the short term but still go ahead and lose in the medium and long term, as long as they continue to operate in the Nigerian market.

It was a no-win situation for MTN Nigeria!

What Did MTN Gain?
At the weekend, concerned stakeholders were asking one key question: what did MTN gain by going to court against the NCC and then making a u-turn for out-of court settlement just after two court appearances? The answer was unanimous: Nothing-Absolutely Nothing!

A stakeholder said: “MTN gained nothing by its ill-advised action of taking the NCC to court over the fine.

The case was absolutely unwinnable for MTN. Unfortunately, the management of MTN allowed themselves to be cajoled, bamboozled and fleeced by self-serving lawyers who were more interested in milking MTN for their private pocket than taking them to the Promised Land.

At the end, MTN literally went on their knees begging for out-of-court settlement, which l consider humiliating and embarrassing for a big industry brand like MTN.”

A senior executive in another telecom operator told Business Journal: “The court action by MTN was a foolish act. MTN was simply going to war against its own regulator-it was simply untenable.

Thank God they realised their foolishness on time and beat a retreat. As a fellow operator, l would appeal to the NCC to pardon them and find a way to settle the matter amicably for industry stability and growth.”

The Way Forward
The way forward is peaceful settlement of the issue and return to stable relationship between the two [NCC and MTN].

If the NCC reduced the fine from N1.O4 trillion to N78O billion without court action, we believe they can also reduce it further through negotiation and mutual co-operation.

The legal action was not in the best interest of MTN Nigeria, NCC or the telecom industry.

Accordingly, the out-of-court settlement sought by MTN is the best option and will pave the way for friendly and fruitful settlement of the matter.

spot_img
spot_img
spot_img
spot_img
spot_img

Hot this week

The First Foundations of Inclusion: Mobility, Education and Nigeria’s Future

Chuma Nwokocha | Chief Executive, Stanbic IBTC Holdings Discussions about...

NAICOM Issues Official Disclaimer, Public Notice over Suspected Impersonation of CFI

DISCLAIMER ON FRAUDULENT SOCIAL MEDIA ACCOUNTS, IMPERSONATION OF THE...

‘Nigeria Unseen’: NLNG Announces 2027 Creative Arts Prize Call for Entries, Appoints Advisory Board

Nigerian filmmakers are being challenged to show audiences a...

Ecobank Adire Lagos Returns with Bigger Dec Edition, Targets 35,000 Visitors, 150 African Brands

Ecobank Nigeria has announced the return of Ecobank Adire...

InvestBeta Gameshow 3.0 by Stanbic IBTC Asset Management Now Live on YouTube

InvestBeta Gameshow 3.0 is officially live on the Stanbic...

Topics

$55: 2017 Oil Price Forecast by World Bank

The World Bank is raising its 2017 forecast for...

Unity Bank Customer Wins N1m in CashToken Rewards Promo

From Left: Eghomwanre Iyamu, Head, e-Business; Aisha Lawan Gana,...

CII UK Visits Sovereign Trust Insurance in Lagos

L-R: Tajudeen Rufai, Consultant, STI Plc, Emmanuel Anikibe, Executive...

Stanbic IBTC Reports N117.4bn Earnings, N94bn Income Mid 2019

Stanbic IBTC Holdings PLC, a member of the Standard...

Wema Bank Empowers SMEs in Enugu via Capacity Seminar

  From left to right – Head, Corporate Strategy and...

Designing the Future: Arc Christian Benimana, Prof Taibat Lawanson to Headline Ecobank Design and Build 2025

Ecobank Nigeria has announced that celebrated architect Arc. Christian...
spot_img

Related Articles

Popular Categories

spot_imgspot_img