The Senate Committee on Banking, Insurance and other Financial Institutions has expressed its intention to seek clarifications from the Central Bank of Nigeria (CBN) on its ongoing dialogue with MTN Nigeria over the $8.1 billion fine imposed on the telecom operator.
The Committee disclosed this on the rumoured negotiation by the Federal Government, through the CBN, to reduce the $8.1 billion fine imposed on the network operator to a paltry $800 million.
According to reports, the leadership of the Senate was not particularly opposed to whatever negotiations government may have with the MTN on the sanction but would want to be formally informed on why the reduction became necessary.
Speaking on the matter, the Committee’s chairman, Sen. Rafiu Ibrahim, accused the CBN of failing to implement Senate resolutions earlier communicated to it before conducting another investigation into the alleged infraction by MTN.
The lawmaker Ibrahim said that the committee would immediately request for the apex bank report on the ongoing negotiations, adding that the only way Nigerians would know what transpired on the $8.1 billion fine is through a detailed report.
He said: “The last time we heard about this issue was when we had a little retreat last two weeks in Lagos, where CBN did the presentation of their biannual activities to the Senate Committee.
We took them up on the issue, and CBN told us how they did the investigation. We’re taking them up based on the fact that we have investigated and we saw what happened.
“All our resolutions were passed to them, and they did not even implement the resolutions before saying they’re going into another investigation. They said their investigation was based on a petition from a law firm and their stand was that the penalty was correct.
“So, from the information you have now, it will be ridiculous for them to say they’re bringing the penalty down from $8.1 billion to about $800 million. That will be ridiculous for CBN. What they told us that day was that they were going to give us the report from when they started the investigation to date and their discussion with MTN.
“So, if that’s the case, they have to answer to Nigerians through us in the Senate Committee to the legislature, what informed the penalty of $8.1 billion?”. And what information have they now gathered that informed the reduction to $800m. I don’t know what percentage of reduction you can call that. Is it not up to 1000?
“We will be interested to know that. We’re not against whatever they’re doing, but they will have to explain to Nigerians. Did they take the decision they took against MTN in a hurry, a foreign direct investor like MTN? We took into consideration the role of MTN in the economy.
“That’s why we did a very thorough job, and we believe we did a thorough job, that they did not steal any money then, that was our own assertion, though they repatriated.
“By then, CBN said all the places where some infractions to the law or guidelines where they gave them waivers. That was our position. So, we will be interested in the investigation.
“We want to know what informed this decision. We as a committee and as a Senate will be interested”, Ibrahim added.
It would be recalled that the Senate had in 2017, after hearing the parties on the alleged infractions, adopted a resolution largely exonerating MTN of alleged illegal repatriation $14 billion out of the country.
