ILLEGAL REPATRIATION: MTN dismisses CBN’s claim

Aug 31, 2018

MTN Nigeria has dismissed allegations by the Central Bank of Nigeria (CBN) over illegal repatriation of shareholders’ dividends amounting to $8.1 billion by the company between 2007 and 2015.

The telecommunication company said all dividends it paid to its shareholders were approved by CBN as required by law.

The telco made this known in a statement on Thursday in response to the claim by the financial regulator.

“MTN Nigeria strongly refutes these allegations and claims. No dividends have been declared or paid by MTN Nigeria other than pursuant to CCIs issued by our bankers and with the approval of the CBN as required by law,” the statement read in part.

It said the company would engage with the relevant authorities and vigorously defend its position on this matter and provide further information when available.

MTN Nigeria has been bedeviled with penalties over failure to comply with government’s regulations.

In 2015, the Nigerian Communications Commission (NCC) had slammed the telecommunication company with a $5.2 billion (N1 trillion) fine for violating SIM card registration regulations directing telcos to deactivate unregistered lines.

Also, the fine was imposed on MTN for not disconnecting about 5.1 million improperly registered lines in its network within the stipulated deadline.

Although, NCC had threatened not to reduce the fine, it however slashed it to $1.65 billion (N330 billion) after several appeals and negotiations including diplomatic intervention by the South African government.

 

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