The Federal Competition and Consumer Protection Commission (FCCPC) of Nigeria has initiated legal proceedings against MultiChoice Nigeria Limited, Africa’s leading pay-TV provider, and its Chief Executive Officer, John Ugbe, over alleged regulatory violations related to an unauthorized price increase.
Regulatory Defiance and Legal Action
Last month, the FCCPC directed MultiChoice Nigeria to maintain its existing pricing structure for its pay-TV services, DSTV and GOtv, pending a regulatory review of the company’s proposed price adjustment, Reuters reported. However, despite this directive, MultiChoice Nigeria proceeded with its price hike on March 1, 2025, in direct contravention of the commission’s order.
In response, the FCCPC has filed charges against MultiChoice Nigeria and John Ugbe at the Federal High Court, Lagos Judicial Division. The agency accused the company of “willfully obstructing the commission’s inquiry by implementing a price hike contrary to directives.” The charges cite three specific counts of regulatory violations.
Corporate and Market Implications
MultiChoice Nigeria has yet to issue an official statement regarding the lawsuit. The development comes amid heightened scrutiny of the company’s compliance with Nigerian regulatory authorities.
In a related matter, MultiChoice Group previously reached a settlement with Nigerian tax authorities for its local subsidiary, agreeing to pay approximately $37.3 million in outstanding taxes. The new lawsuit adds to the company’s ongoing legal and regulatory challenges in Nigeria, a key market for its operations.
The outcome of this case could set a precedent for regulatory enforcement in Nigeria’s pay-TV and telecommunications sectors, underscoring the FCCPC’s commitment to ensuring fair competition and consumer protection in the country’s media industry.