By John Moses
The Nigerian Federal Government is set to arraign top executives of MultiChoice Nigeria, including Chairman Adewunmi Ogunsanya and Chief Executive Officer John Ugbe, over alleged violations of the Federal Competition and Consumer Protection Act, 2018.
The case is scheduled to come before the Federal High Court in Abuja on 7 October, after Justice James Omotosho adjourned proceedings due to the absence of the defendants in court on Tuesday. The judge acted on an application made by Chizenum Nsitem, counsel for the Federal Competition and Consumer Protection Commission (FCCPC), who cited improper service of court documents.
In addition to Ogunsanya and Ugbe, six other senior executives of the pay-TV company are expected to face charges. These include Fhulufhelo Badugela, CEO of MultiChoice Africa Holdings; Retiel Tromp, CFO for Africa; Keabetswe Modimoeng, Group Executive for Corporate Affairs; Adebusola Bello, Fuad Ogunsanya, and Gozie Onumonu, who heads Regulatory Affairs and Government Relations. The company itself, MultiChoice Nigeria Ltd, is named as the first defendant in the matter.
According to court documents, the charges—seven in total—relate to failure to comply with lawful summons, obstruction of investigation, and refusal to produce requested documents during an inquiry by the FCCPC into price increases for DStv and GOtv subscription packages.
One of the counts alleges that MultiChoice failed to honour a summons issued on 25 February, by failing to appear at an FCCPC hearing on 6 March. Another charge accuses company directors of obstructing the commission’s investigation by withholding key documents, in violation of Section 110 of the FCCP Act.
The dispute began when MultiChoice announced a price hike for its pay-TV packages on 1 March, prompting the FCCPC to request justification for the increase amid concerns over potential market dominance and anti-competitive conduct.
A prior attempt by MultiChoice to halt the FCCPC’s actions through a court injunction was dismissed in May. Justice Omotosho ruled that the legal challenge was an abuse of court process, as it duplicated a similar case already before the court.
The FCCPC has warned that regulatory sanctions may follow if MultiChoice is found to have breached fair market practices or failed to provide adequate justification for its pricing decisions.