Ad
Tech Gist

The MTN Drama: $5BN Fine, Tax Evasion And Other Issues

It appears that Nigeria’s largest telecom company, MTN Nigeria is going through a lot this month.
MTN-Nigeria
Last Thursday, MTN Group announced that its Nigerian operation lost 5.1 million subscriber lines in the month of August to the deactivation of incomplete SIM registrations ordered by NCC. This has led to MTN cutting its full-year forecast for subscriber numbers.
 
court_19
To add to this loss, According to BBC, The Nigerian Communications Commission (NCC) has also fined them a fine of N1.04trilion ($5.2BN) for failing to disconnect subscribers with unregistered and incomplete SIM cards within the stipulated time. This is the largest in the history of telecom infringements.

 Technology Times which broke the story last night said NCC fined MTN Nigeria “for allegedly undermining efforts by the Nigerian government to tackle security challenges and the war on terror and allied crimes, as the telecoms operator has allegedly refused to deactivate unregistered mobile phone lines on its network”.
mtn-sim

 LAST STRAW

The last straw for the Telecom Giant came in today when Premium times uncovered a serious investigation on how MTN smuggles billions to Shell companies abroad to evade tax in Nigeria. According to the article,  MTN Nigeria has been making payments to two overseas companies – MTN Dubai and MTN International in Mauritius – both located in tax havens.
Premium Times also explained that:

In 2013, MTN set aside N11.398 Billion from MTN Nigeria to pay to MTN Dubai. A similar transfer of N11.789 Billion was made by MTN Ghana to the same MTN Dubai, making it a total of N23.187 Billion that was shipped to the Dubai offshore account. The disclosure amounted to a confession given that MTN made the dodgy transfers without seeking approval from the National Office for Technology Acquisition and Promotion (NOTAP), the body mandated to oversight such transfers.

Source: PremiumTimes

It is estimated that N90.2 Billion could have been transferred out of Nigeria in management fees alone since the company was founded in 2002.

Ad

28 comments on “The MTN Drama: $5BN Fine, Tax Evasion And Other Issues

  1. Simeon Udoh says:

    This is very Terrible. It is just so unfortunate that they’re going through a lot right now. But There’s always Hard times. It’ll definitely come. Maybe this is MTN Nigeria’s Turn. But on a lighter Note, If MTN Nigeria had adhere to the order given by NCC , There wouldn’t be any fine or Loss of Subscribers. I’ll say they were ignorant and Careless it. However, This is a lesson to them

    1. kenny says:

      Couldnt have said it better myself

  2. Emmaway Anthony says:

    I hope they recover from this oh…

    1. kenny says:

      I really hope they dont

  3. SweetSusie says:

    What are the two guys above me saying, didn’t you read the article, why are you feeling for them? They evaded tax, do you know that is a big crime in so many countries . You guys really SMH

    1. kenny says:

      Ma pls tell dem ooo

  4. KingAbsolute says:

    But Nigeria has no stated tax system, my last research in school involved TAX and I noticed we indulge more on Indirect Tax & VATs.
    If it was a country that its Tax System has Clarity, Certainty & Simplicity, under a month, they’ll realize that MTN Nigeria evaded tax.
    But no, its matter of years, MTN Nigeria is following the corrupt path of the nation & also try to please their customers.
    The change we seek in Nigeria is no where to be seen.

    1. SweetSusie says:

      The most sensible comment said. I like you king absolute

      1. KingAbsolute says:

        Awwww, thanks 🙂

    2. kenny says:

      Another write up well said

  5. felix says:

    Chaııı… Not my network

  6. Kay says:

    1. I don’t understand.
    2. IDGAF!
    3. 🙂

  7. Ezecheta william says:

    Hard times are always there to test our strength, the ability to rise above it, makes us who we are. MTN is really going through a lot now, I pray they stand bold and triumph.

  8. MTN must go!
    That stupid network, I hate them!
    am using it tho 😀

  9. Joshua says:

    laughing in Chinese… serves then right for all the money they’ve extorted from people… waiting for airtels 3 Trillion naira fine # Team Glo

    1. kenny says:

      Lolz airtel aren’t corrupt now…or are they???

  10. Enoch says:

    If you ask me, I would say browsing with hard earned cash is almost a sin, well check out free browsing tricks and detailed android tutorials at http://www.enochtek.com God bless you. God bless misstechy

    1. kenny says:

      Bros abeg i hope ur stuffs work o. Drop ur number here pls incase i have any questions

  11. kenny says:

    Trust mtn! Bastards! I had a hinge drm no go disconnect pple from their network, dey too lyk money, na y pesin go call etisalat frm mtn load N100 d call no go last 5mins awon oloshi gud for dem

  12. Josh King says:

    N1.4Tr is not a small money. MTN needs to sit up. They are like the Teddy Bear network of Africa. They should play their roles beautifully well and take the lead as they claim they have.

  13. Mukaddas says:

    One hell of money… But for MTN side na chicken change

  14. DY says:

    No one messes with me and go unpunished! na my head catch them

    1. kenny says:

      Abeg go buy etisalat sim do d same thing for dem abeeeg 🙁

  15. Chide says:

    it is well with them

  16. BETH-EL Gavin says:

    Good for dem, I so much love wat dey going tru ryte nw.. I wish it cud b worse Dan dis. The money
    is too small, too…. Small.

    1. Tobi Ayeni says:

      Lol they have reduced it by 35% though.

Leave a Reply

Your email address will not be published.

Scroll to top