MTN VS CBN: Court Fixes October 30 To Hear Suit
As you may have heard, telecom giant, MTN dragged the Central Bank of Nigeria, CBN to court after it was slammed with an $8.1 billion fine for repatriating its profit illegally.
The court has now fixed October 30 to hear the case, according to MTN’s lawyer, Wole Olanipekun on Friday.
Nigeria is MTN’s biggest market and accounts for a third of its annual core profit.
The central bank has said in its counterclaim to the court that MTN contributed to depleting Nigeria’s reserves through the purchase of dollars via unapproved certificates. MTN has denied any wrongdoing.
MTN said in a court filing on Thursday that it paid the naira-equivalent to purchase a total of $8.1 billion from the central bank in several tranches over a nine-year period and that it did not negatively impair reserves.
Nigeria has burnt reserves to keep the naira stable. Central bank data on Thursday showed that the bank spent $2.2 billion in the month to October 16, to defend the naira, while reserves fell to an eight-month low of $42.8 billion.
Central bank officials met with MTN and its lenders this week to discuss the dispute. The bank has said it was looking for a resolution.
Information minister, Lai Mohammed told Reuters on Wednesday that the central bank and MTN could soon agree a deal.
A separate hearing between MTN and the attorney general over an alleged $2 billion unpaid tax bill has been scheduled for November 8 at the same court in Lagos, the lawyer told Reuters.
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