By Dele Ogbodo
MTN Nigeria on Monday dragged the Central Bank of Nigeria (CBN) and the Attorney General of the Federation (AGF) to a Federal High Court
over a combined total of $10.1 billion ($2bn and $8.1bn) as being alleged unpaid taxes and irregular repatriation dividends.
Mr. Funso Aina, MTN Nigeria’s PRO, in a statement made available to the media, asserted that MTN has not committed any infraction against the state as it will continue to defend its position vigorously.
He said: “MTN remains fully committed to Nigeria and remains resolute that the company has not committed any offences and will continue to defend its position vigorously.”
He reiterated that the AGF has alleged unpaid taxes on foreign payments and imports approximately of $2.0 billion in relation to these taxes which is to be paid to the federal government.
He stressed…and now directed that the payment of the $8.1 billion is dealt with through his office rather than as directed by the CBN.
While denying the allegations and claims, MTN in the statement throws more light…that 4 commercial banks were issued fines in respect of the administration of the CCI and irregular dividend repatriation and requested to return, in aggregate of $8.1 billion.
The telecommunications giant categorically and unequivocally denied charges leveled by CBN AGF investigations into the company’s CCIs and unpaid taxes respectively.
Aina, asserted that as previously disclosed the CBN has alleged improper dividend repatriations by MTN Nigeria and requested that $8.1 billion be returned “to the coffers of the CBN”
MTN also averred: “That the AGF has alleged unpaid taxes on foreign payments and imports approximately $2.0 billion in relation to these taxes which is to be paid to the federal government of Nigeria, stressing: (and now directed that the payment of the $8.1 billion is dealt with through his office rather than as directed by the CBN).”
MTN, in the statement denied these allegations and claims, explaining that 4 commercial banks were issued fines in respect of the administration of the CCI and irregular dividend repatriation and requested to return, in aggregate $8.1 billion.
According to the statement, in order to protect MTN Nigeria’s assets and shareholder rights within the confines of the law, it has there applied today in the Federal High Court of Nigeria for injunctive relief restraining the CBN and the AGF from taking further action in respect of their orders, while we continue to engage with the relevant authorities on these matters.
The company quoted its Corporate Relations Executive Tobe Okigbo, as saying: “The allegations being made involve issues that appear to be complex and so are easily misunderstood and misinterpreted. They are made even more confusing when the relevant authorities send conflicting messages and instructions and act in a way that appears un-coordinated and at cross purposes.
“The simple reality is that MTN Nigeria has never repatriated dividends on the CCIs referenced by the CBN and that MTN is fully compliant with Nigerian tax law.
“With situations like this, it is vital for both the government, regulators and the company to have absolute clarity on the nature of both the allegations being made and the processes that are being followed. In the absence of this clarity, our only option is to seek judicial intervention and to ask the courts to act as adjudicator. This has been done today.”
“The company will continue engaging with the relevant authorities, and further information will be provided as and when available.” It said.