FCCPC Sues MultiChoice Over Alleged Regulatory Violations
The Federal Competition and Consumer Protection Commission (FCCPC) has filed legal action against MultiChoice Nigeria Limited and its Chief Executive Officer, John Ugbe, for allegedly disregarding regulatory directives and obstructing an ongoing investigation.
The case, filed before the Federal High Court in Lagos, includes three charges against the pay-TV provider. These charges stem from MultiChoice’s unauthorized price hike, which the FCCPC claims was implemented in direct violation of its directives.
According to the Commission, the company’s decision to proceed with the price adjustment contravenes Section 33(4), Section 110, and Section 159(2) of the FCCPA 2018 Act, with penalties outlined under Section 159(4)(a) and (b) of the same Act.
Background of the Case
On February 24, 2025, MultiChoice announced a subscription price increase for its DStv and GOtv packages, scheduled to take effect from March 1, 2025. This decision sparked public backlash, given that a similar increase had been implemented less than a year earlier.
In response, the FCCPC intervened on February 27, 2025, ordering MultiChoice to suspend the price hike until it had completed an investigative hearing on the matter. However, the Commission alleges that MultiChoice ignored this directive and proceeded with the price adjustment ahead of the scheduled hearing on March 6, 2025.
Regulatory Implications
By defying regulatory orders, the FCCPC argues that MultiChoice has not only violated fair competition laws but has also engaged in a pattern of conduct that undermines consumer rights and disregards legal compliance in the Nigerian market.
The Commission further stated that it is considering additional enforcement actions, which could include further sanctions, penalties, and regulatory interventions to ensure that MultiChoice adheres to established market principles.
Reassuring consumers, the FCCPC emphasized its commitment to protecting Nigerians from exploitative business practices and holding dominant market players accountable for regulatory compliance.