MTN Nigeria has announced that it has reached an agreement with the government of Nigeria over its fine for failing to cut off unregistered SIMs. The operator said it has agreed to pay a total cash amount of NGN 330 billion over three years, which is the equivalent of USD 1.671 billion at the official exchange rate and USD 902 million at the Lagos Parallel Market Rate. It will pay this to the national government in full and final settlement of the matter.
Under the arrangement, the NGN 50 billion paid on 24 February forms part of the monetary component of the settlement, leaving a balance of NGN 280 billion outstanding. MTN said NGN 30 billon will be paid on 08 July, NGN 30 billion on 31 March 2017, NGN 55 billion on 31 March 2018, NGN 55 billion on 31 December 2018, NGN 55 billion on 31 March 2019 and NGN 55 billion on 31 May 2019.
In addition to the monetary settlement set out above, MTN Nigeria subscribes to the voluntary observance of the Code of Corporate Governance for the Telecommunications Industry and will ensure compulsory compliance when the code is made mandatory. MTN Nigeria also commits to take immediate steps to ensure the listing of its shares on the Nigerian Stock Exchange as soon as commercially and legally possible after the date of execution of the settlement agreement. MTN Nigeria will always ensure full compliance with its licence terms and conditions as issued by Nigerian Communication Commission. Accordingly, shareholders are advised that they are no longer required to exercise caution when dealing in the company's securities.
