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

NGX, Brazilian Business Delegation Explore Areas of Collaboration, Partnership

WELCOME REMARKS BY ALHAJI (DR.) UMARU KWAIRANGA GROUP CHAIRMAN,...

Leadway’s Post-Recapitalisation Signals Era of Digital-First Insurance for Critical Sectors and Nigeria’s Next Generation

Leadway Assurance, Nigeria’s foremost insurance services provider and a...

The 2026 Almond Insurance Industry Awards Voting Opens Officially

L-R:  Mr. Obinna Chilekezi, Member, Panel of Judges, 2026...

Emmanuel Okpanachi: Building the Technology Behind Africa’s Next Generation of Events

Africa’s events industry is growing rapidly, but the technology...

SEC, Meristem Collaborate to Curb Unclaimed Funds, Strengthen Investor Protection

Head, Monitoring & Enforcement Department Securities and Exchange Commission,...

Topics

Ibru Varsity Pro-Chancellor, Anthony Kila, to Chair Business Journal Annual Lecture 2025

Professor Anthony Kila, Pro-Chancellor, Michael & Cecilia Ibru University,...

Interswitch Named Best Employer Brand at LinkedIn Talent Awards

  Africa’s leading integrated payments and digital commerce company, Interswitch...

Heirs Insurance, NAIPE Partner to Deepen Grassroots Insurance Penetration

L-R: Iyabo Ogunjuyigbe, NAIPE member; Chris Ebong, NAIPE member;...

Nigeria Applauds Take-off of WTO Trade Facilitation Agreement

Nigeria received with great excitement the announcement by Roberto...

FG to Commission Nedogas 300 MMscfd Kwale Gas Gathering Facility

Nedogas Development Company Limited (NDCL), a Joint Venture company...

NAIPCO Confab Set for Nov 4 with NSITF Chief as Chairman

The 2020 edition of the annual Conference of the...

Japan to Support 50m Tonnes Rice Production in Africa

The Sasakawa Association will work with the Japan International...

South Africa to Host 46th AIO Conference June 8

The Republic of South Africa will host the 46th...
spot_img

Related Articles

Popular Categories

spot_imgspot_img