MultiChoice Nigeria, the company behind DSTV and GOtv, has announced its intention to appeal a ruling by the Competition and Consumer Protection Tribunal in Abuja, which fined it N150 million for challenging the court’s jurisdiction.
Earlier on Friday, the tribunal imposed the fine on MultiChoice for disobeying its orders to halt an increase in monthly subscription fees until the resolution of a lawsuit filed by Abuja-based lawyer Festus Onifade.
The tribunal also directed the pay-TV company to offer a one-month free subscription to its DSTV and GOtv customers in Nigeria.
In response to the ruling, MultiChoice issued a statement expressing its disagreement with the decision and confirming that it will file an appeal.
The statement read in part, “MultiChoice Nigeria is aware of the recent ruling by the Competition and Consumer Protection Tribunal regarding its jurisdiction to entertain a price regulation matter. We disagree with the ruling, and will therefore file an appeal against the said ruling.
“As the matter is currently sub-judice, we are restrained from making further comments.”
According to PUNCH, Multichoice’s lawyer, Moyosore Onibanjo, SAN, said he filed a preliminary objection challenging the court’s jurisdiction on the suit filed by Onifade.
He argued that the tribunal should decline jurisdiction on the suit filed by Festus Onifade the complainant, citing a previous case that had been decided in favour of MultiChoice on a similar issue.
Onifade had sued MultiChoice Nigeria and the FCCPC, accusing the pay-TV of unjustly increasing subscription fees without one-month notice to customers. He argued that the eight-day notice given for the price increase was inadequate.
Following the lawsuit, a three-member tribunal chaired by Saratu Shafii ruled in favour of Onifade and ordered Multichoice Nigeria not to increase its subscription fees scheduled to take effect from May 1, 2024, pending the hearing and determination of the motion on notice.
Onifade then proceeded to file contempt charges against Mohammed Sani, the Manager of MultiChoice Nigeria’s Abuja office, for allegedly disobeying the court order.
He contended that despite being served the order on April 29, the company went ahead with the price hike on May 1.
Onigbanjo said he submitted the application on April 30, questioning the tribunal’s authority following its April 29 order.
