Court Slams MTN N15M Fine for Unlawful Airtime Deductions

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  • Judges Condemn Auto-Renewals and Unsolicited Texts as Fraudulent Practices

The Court of Appeal in Abuja has ordered MTN Nigeria Communications Limited to pay N15 million in damages to a subscriber, Mr. Ezugwu Anene, over the unlawful deduction of airtime through unsolicited services.

In its unanimous judgment delivered on Friday, a three-member panel of justices condemned the frequent deduction of customers’ airtime for auto-renewals of unrequested services, describing the practice as fraudulent.

The court also ruled that MTN’s practice of sending unwarranted text messages violated subscribers’ right to privacy under Section 37 of the 1999 Constitution, as amended, and breached Regulation 28 of the Consumer Code of Practice Regulations.

The judgment followed an appeal (CA/ABJ/CV/137/2022) filed by Anene, who alleged that MTN deducted airtime for services he did not subscribe to, including Weekly Guidance and Counseling. Anene presented evidence that over 244 unsolicited text messages were sent to his mobile number, 08030735301, between 2016 and 2018, with N20 deducted each time he received a message.

He further claimed that airtime was deducted for Caller Tune Services imposed without his consent. Despite protesting at MTN’s Abuja office and using the “Do Not Disturb” code 2442, the deductions allegedly continued.

The appellate court held that MTN’s actions constituted a breach of trust and unfair treatment of its customers. The panel awarded damages to Anene to serve as a deterrent against such practices by telecommunication companies in Nigeria.

The judgment is expected to spark widespread discussion about the ethical practices of telecommunication providers and their responsibility to respect customer rights and privacy.

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