The Federal Government has said that it will enforce a December 31 deadline for MTN Nigeria to pay the $3.9 billion fine, Bloomberg reports.
The Minister of Communications, Mr Adebayo Shittu, stated this while speaking about the fine imposed on the telecoms firm.
Shittu added that the government would not consider an extension to the deadline.
Speaking through his spokesman, Mr Victor Oluwadamilare, the minister said, “MTN has the right to seek the court’s interpretation if it feels unsatisfied with the action of the regulator, but nothing would stop the government’s action on the fine.”
MTN has filed a legal action before a Federal High court in Lagos, asking it to rule on the propriety of the fine, saying that the Nigerian Communications Commission (NCC) lacks the power to impose the fine.
The Johannesburg-based company’s shares have declined 26 percent since the fine was made public almost two months ago. They gained 4.5 percent to 141.16 rand by the close in the city, valuing the company at 261 billion rand ($17.1 billion).
NCC imposed the penalty on MTN for failing to meet a deadline to disconnect 5.1 million unregistered subscribers as security agencies seek to fight crime in a country with poor identity records.
The initial fine of $5.2 billion was reduced by 25 per cent earlier this month following talks with the regulator led by MTN Chairman Phuthuma Nhleko.
Oluwadamilare has declined to comment on what will happen if MTN misses the deadline, but an informed source said missing the deadline attracts further fines leading to risking its operational licence.
-Leadership