Multichoice Nigeria, a major Pay-TV operator, has filed an appeal against a ruling by the Competition and Consumer Protection Tribunal.
The tribunal had imposed a N150 million fine and ordered Multichoice to provide a free one-month subscription to its DSTV and GOTV customers. This ruling followed Multichoice’s objection to the tribunal’s jurisdiction among other issues.
Sources familiar with the case confirmed that Multichoice has filed a notice of appeal against the tribunal’s decision. Initially reported by Nairametrics, the tribunal, led by Thomas Okosu, had ordered Multichoice to offer a free subscription for one month after the company ignored interim orders to halt a price hike for its services.
The tribunal had earlier restrained Multichoice from increasing its subscription rates pending a motion filed by Barrister Festus Onifade. Onifade sued Multichoice Nigeria Ltd. and the Federal Competition and Consumer Protection Commission (FCCPC), alleging that the company unjustly raised subscription fees without giving customers a one-month notice.
A three-member tribunal chaired by Saratu Shafii ruled in favor of Onifade, restraining Multichoice from implementing the price increase scheduled for May 1, 2024, until a hearing on the motion. Multichoice’s lawyer, Moyosore J. Onibanjo (SAN), argued that the court should dismiss the case, citing a previous decision in favor of his client on a similar issue.
Onifade countered, stating that the case was about whether Multichoice provided adequate notice for the price hike, not about the regulation of the price itself. The tribunal, chaired by Justice Thomas Okosu, ruled that it had jurisdiction under Section 39(2) of the FCCPC Act, which covers all profit-driven commercial activities nationwide. The tribunal found that Multichoice failed to give adequate notice of the price increase, violating the interim orders.
The tribunal dismissed Multichoice’s preliminary objection and imposed a N150 million fine for disobeying its orders, along with the directive for a one-month free subscription.
Following the ruling, Multichoice’s legal team expressed their intent to appeal, stating, “The matter was adjourned to June 7, 2024, for ruling on our application challenging jurisdiction. However, surprisingly, the Tribunal pronounced us guilty of disobedience to its orders and issued severe sanctions without hearing us, violating our constitutionally guaranteed right to a fair hearing.”