The Nigerian Commuinications Commission (NCC) has reduced the massive fine imposed on MTN to the equivalent of $3,4-billion (R46,42-billion)
The original fine was $5,2-billion (R71-billion), made up of $200 000.00 for each subscriber the operator didn’t deregister.
MTN has received a formal letter dated 2 December 2015 from the NCC informing the company that it has decided to reduce the fine on the MTN Nigerian business from the original $5,2-billion, to be paid by 31 December 2015. The fine relates to the late disconnecting of 5,1-million MTN Nigerian subscribers in August and September 2015, with $200 000.00 accruing for each subscriber.
MTN has released a statement saying that it is carefully considering the NCC’s reply, but that executive chairman Phuthuma Nhleko will immediately and urgently re-engage with the Nigerian authorities before responding formally.
Meanwhile, MTN Nigeria’s CEO Michael Ikpoki and the head of regulatory and corporate affairs Akinwale Goodluck have tendered their resignations with immediate effect. They are replaced by Ferdi Moolman as MTN Nigeria CEO and Amina Oyagbola as its head of regulatory and corporate affairs.
MTN has also reviewed its operating structure with a view to strengthening operational oversight, leadership, governance and regulatory compliance across its 22 country operations in Africa and the Middle East.
To this end, the company has resolved to re-implement its previous reporting structure. This will see MTN Group restructured into three regions – namely West and Central Africa (WECA), South and East Africa (SEA), and Middle East and North Africa (MENA).
MTN has also made a number of senior appointments to support this structure.
Effective 1 December 2015 Jyoti Desai assumed the new position of group chief operating officer, reporting to Nhleko. Two regional vice-presidents have been appointed, also reporting to the executive chairman. The vice-president for WECA is Karl Toriola, with Ismail Jaroudi the vice-president for MENA. A vice-president for SEA will be announced soon.
Nhleko comments: “This revised structure and strengthened leadership will improve operational oversight and increase management capacity. This will enable MTN to continue to realise its strategy and vision, while also ensuring we achieve high governance standards and robust risk mitigation.”
