Pay TV, Multichoice Nigeria has been slammed with a fine of N150m.
The fine was imposed on the organization by the Competition and Consumer Protection Tribunal (CCPT) for contesting the court’s jurisdiction.
Also, the CCPT ordered the company to compensate Nigerians with a one-month free subscription on DStv and GOtv.
The fine follows a suit filled by Barrister Festus Onifade who sued Multichoice Nigeria Ltd, and the Federal Competition and Consumer Protection Commission (FCCPC), questioning Multichoice’s unjust increase of its subscription fees without one-month notice to customers.
It would be recalled that Multichoice Nigeria had on April 24 revealed that it would increase the price of its bouquet both on DStv and GOtv.
The organization was supposed to kick-off the new rate on May 1; however, on April 29, the tribunal prevented this from happening.
In an earlier sitting, a three-member tribunal chaired by Saratu Shafii had ruled in favour of Onifade by restraining Multichoice in the interim, in the suit marked CCPT/OP/2/2024, restraining the pay TV from going ahead with the impending price increase scheduled to take effect from 1st May 2024 pending the hearing and determination of the Motion on Notice.
However, Multichoice’s lawyer, Moyosore .J. Onibanjo (SAN) filed a preliminary objection urging the court to decline jurisdiction on the suit filed by Onifade and strike it out because such a price dispute case had been decided before in favour of his client.
Onibanjo also tendered and adopted the previous judgement of the tribunal in suit no CCPT/OP/1/2022(Exhibit A), alongside his application, saying when a court has determined an issue between the same parties on the same subject matter before, that matter cannot be re-litigated again by any tribunal or court.
On his part, Onifade argued that the issue he placed before the court is whether Multichoice Nigeria gave adequate notice in respect of the May 1, 2024 price TV subscription increase, and not price regulation or increase.
In its ruling on Friday, a three-man panel, led by Thomas Okosu, cited section 39(2) of the Federal Competition and Consumer Protection Commission (FCCPC) Act that states that the “tribunal shall have jurisdiction throughout the federation and on all commercial activities aimed at making a profit”.
“The jurisdiction of this tribunal extends to all business activities within Nigeria,” Okosu ruled.
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