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MTN dismisses Nigerian Senate allegations on illegal transfer of $14bn

28 Sep 2016, 07:12 pm
Financial Nigeria
MTN dismisses Nigerian Senate allegations on illegal transfer of $14bn

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- Senator Dino Melaye said MTN, while transferring its funds, failed to obtain a certificate of capital importation from the Central Bank of Nigeria as required by extant laws. 


MTN Group, Africa’s largest mobile operator, has dismissed the allegations that it illegally transferred about $14 billion out of Nigeria between 2006 and 2016.

The allegations come three months after MTN agreed to pay N330 billion over three years to settle a fine imposed on the telecoms company by the Nigerian Communications Commissions for failing to disconnect unregistered SIM cards. The Johannesburg-based company also agreed to list its Nigerian unit on the local stock exchange as part of the deal with Nigerian authorities.

“The allegations made against MTN are completely unfounded and without any merit,” Ferdi Moolman, MTN Nigeria Chief Executive Officer, said in a statement on Wednesday.

During a plenary session at the Senate on Tuesday, Dino Melaye, the Senator representing Kogi West, had accused Okechukwu Enelamah, the Minister of Trade and Investment, of colluding with MTN to illegally repatriate $13.92 billion through its bankers – Stanbic IBTC, Standard Chartered Bank, Citigroup and Diamond Bank.

Melaye said MTN, while transferring its funds, failed to obtain a certificate of capital importation from the Central Bank of Nigeria as required by extant laws. After listening to Melaye’s motion, the Senate voted to refer the matter to its committee on banking, insurance, and other financial institutions for further investigations.

MTN shares fell 0.2 percent to 119.54 rand by 9:50 a.m. in Johannesburg on Wednesday. They declined 3.4 percent after the fresh allegations were reported on Tuesday, according to Bloomberg.


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