Nigeria demands N30b from Facebook over advert law violation
By Jeph Ajobaju, Chief Copy Editor
Leave has been granted by the Abuja Federal High Court to the Advertising Regulatory Council of Nigeria (ARCON) to serve a writ of summons on Meta, owners of Facebook, in a N30 billion lawsuit.
ARCON sued Facebook for allegedly violating Nigerian advertising laws, and seeks N30 billion in fines and sanctions.
The writ is to be served at the United States corporate headquarters of Meta which also owns Instagram, Messenger, and WhatsApp.
Meta is the first defendant and AT3 Resources Limited the second, according to reporting by Tribune.
ARCON is seeking
- A declaration that the publication of various advertisements and marketing communications materials targeted at Nigeria through Meta’s platforms without prior vetting and approval by Advertising Standards Panel is illegal.
- A declaration that the act disregarded Nigerian culture, constitutional tenets, moral values, and religious sensitivity of citizens.
- An order of perpetual injunction restraining the defendants, their privies, agents, servants and associates from publishing any advertising or marketing communications materials without recourse to ARCON in line with Nigerian advertising law.
- N30 billion in fines and sanctions for the continued violations and infractions of the ARCON Act of 2022.
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Foreign content costs local advert industry N120m yearly
Production of Nigerian advertising and marketing communication materials abroad costs the country more than N120 billion yearly, ARCON disclosed in October 2022 in a clarion call to enforce local content.
ARCON Director General Olalekan Fadolapo said the practice costs jobs and retards the development of the advertising industry, citing the negative impact on the effort by Abuja to create more jobs and grow an inclusive economy.
He reiterated Section 8(1)(I) of ARCON Act 2022 empowers ARCON to preserve local content and use of indigenous skills in advertising, advertisement, and marketing communication materials.
He disclosed ARCON would enforce the Act to ensure a minimum 75 per cent local content in such materials, insisting models and voice-over artistes must be Nigerians, and the materials produced in the country as well reflect its ambience.
The production crew may include foreigners but “Nigerians and Nigerian organisations must partake in the production,” Foladapo explained in a statement.
He argued the policy would enable Nigerians and the economy to benefit from an industry that enjoys tremendous local patronage, and is on course to create more than 500,000 jobs yearly with a positive multiplier effects on all sectors.
Foladapo enthused the new policy would both attract investment to the advertising industry and discourage capital flight.