ABUJA — Cellphone operator MTN will have to pay a $3.9bn fine imposed
by Nigeria for failing to disconnect users with unregistered SIM cards
by December 31, a source in the Nigerian telecommunications regulator
said on Wednesday.
Nigeria’s telecoms regulator had cut the fine from an initial $5.2bn after weeks of lobbying by Africa’s biggest mobile phone company to get it reduced.
"Appropriate
action will be taken", should MTN fail to meet the deadline, the source
said, asking not to be named and giving no further details.
MTN said this month it would challenge the decision in court.
Nigeria
has been pushing telecoms companies to verify the identity of
subscribers amid concern that unregistered SIM cards were being used for
criminal activity in a country facing the insurgency of militant
Islamist group Boko Haram.
The fine came months after Muhammadu
Buhari swept to power in Africa’s biggest economy following a campaign
in which he promised tougher regulation and a fight against corruption.
MTN
said on December 17 that it had “"thoroughly and carefully” considered
all factors, including a review of the circumstances of the fine and
subsequent letters from the watchdog.
It said the manner of the
imposition of the fine and the quantum was not in accordance with the
regulator’s powers under the Nigerian Communications Act and therefore “there are valid grounds upon which to challenge the fine”.
However, the group said it would continue to engage with the Nigerian authorities to “try ensure an amicable resolution”.
Fallout from the fine forced MTN to overhaul its top team and operational structure.
The
crisis forced Sifiso Dabengwa to resign as CEO and earlier this month
MTN Nigeria CEO Michael Ikpoki and Akinwale Goodluck, the head of
regulatory and corporate affairs, quit with immediate effect.
Reuters
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