MTN Nigeria Communications Limited faces new sanctions from the Federal High Court in Lagos, as the company is forbidden to move any existing funds from Nigerian banks abroad.

The Federal Government brought a motion to
restrain 21 commercial banks from releasing
money to the country’s biggest telecom
provider.
The restriction will remain in force until the
hearing of its suit challenging the N1,4 trillion
fine imposed on MTN Nigeria by the Nigerian
Communications Commission (NCC).
The motion read in part: “The FG seeks an
order of Mareva injunction [a court order
which requests assets be frozen]
restraining the aforementioned banks from
releasing, making a sale, transferring, or
paying any of the monies maintained by
the plaintiff MTN.”
MTN was initially slammed with a record $5,1
billion fine in October last year for failing to
deactivate unregistered sim cards, which was
later reduced to $3,9 billion.
The company is now challenging the fine in
court contending that “the manner of the
imposition of the fine and the quantum
thereof is not in accordance with the NCC’s
powers under the Nigerian Communications
Act.”
However, MTN hopes to simultaneously
maintain talks with the Nigerian government.
It is currenlty embarking upon a major
project to register the biometrics of its
customers as an important security measure.