MTN NIGERIA DEMANDS N5M COMPENSATIONS FROM KOGI GOVERNMENT

Read Time:2 Minute, 27 Second

MTN Nigeria has taken legal action against the Kogi State Government, demanded N5 million compensation in court.

MTN Corporate Relations Executive, Mr Tobechukwu Okigbo, said on Tuesday in Lagos, that the suit was necessary because Kogi State Board of Internal Revenue has shut down and impounded MTN’s telecommunications properties and equipment since January 23.

Okigbo said the Attorney-General of Kogi State and the Nigerian Communications Commission (NCC) were also named as parties to the suit.

“The company contends in its summons that by virtue of the provisions of Sections 4(2) and 5(1) and Item 46 Part 1 of the Second Schedule to the Constitution of the Federal Republic of Nigeria, 1999 (as amended) only the Federal Government and its organs/agencies can either legislate or take any executive action affecting the business interest of the telecommunications company.

“In the suit, filed at the Federal High Court in Lokoja, the Kogi State capital, the firm argued that its licence to operate in the state was rightfully granted by the NCC.

“Despite the compliance by MTN with all requirements and conditions for the grant of the licence by the constitutionally-empowered organ, the NCC, the Plaintiff’s (MTN) business premises and equipment were invaded by officers and men of the Kogi State Internal Revenue Service, who shut down and confiscated the business premises and equipment of the plaintiff on Jan. 23.

“This act of the 1st, 2nd and 3rd defendants has greatly affected the business and fortunes of the plaintiff, ’’ Okigbo said in a statement.

The firm mouthpiece contended that Kogi State do not have the right to make use of powers that belongs to the Federal Government in regards to telecommunications companies regulations.

He asserted that the actions of the 1st to 3rd defendants was unconstitutional as it is beyound the capability of the defendants and this unconstitutional exercise of powers must be cut shut.

He therefore implored the court to declare the closure of the firm’s base stations has unconstitutional, illegal, null and void and to give order to unseal and release all MTN properties and equipment.

“The company has fulfilled all tax obligations.

“To the best of our knowledge, the Minister of Finance’s recommendation as provided in the Act is yet to be issued, and as such, it is unclear if the imposition of the fee by the Kogi State Government is on a solid legal footing.

“As a responsible corporate citizen, we accord the highest priority to our sub-national tax commitments.

“We wish to state that we have met in full all our tax obligations to the Kogi State Government and are not in arrears,’ he said.

“MTN has provided Kogi State Internal Revenue Service (KGIRS) with documentary evidence on multiple occasions to prove its tax compliance.

“MTN remains committed to operating in the state and working with relevant regulatory authorities in reaching a lasting resolution, ‘’ He said.