Regulator Accuses DStv Parent Company of Disregarding Directives, Obstructing Inquiry
The Federal Competition and Consumer Protection Commission (FCCPC) has filed a three-count charge against MultiChoice Nigeria Limited and its Chief Executive Officer, John Ugbe, for allegedly violating regulatory directives and obstructing an ongoing inquiry. The charges, filed at the Federal High Court in Lagos, stem from MultiChoice’s implementation of a price hike for its DStv and GOtv subscription packages despite the Commission’s explicit instructions to halt the increase.
The FCCPC accused MultiChoice of willfully implementing the price hike contrary to Section 33(4) of the FCCPC Act, disregarding instructions to suspend the increase in violation of Section 110, and attempting to mislead the Commission by proceeding with the hike without objection, contrary to Section 159(2) of the FCCPA 2018 Act.
On February 24, 2025, MultiChoice announced a price increase set to take effect on March 1, 2025, sparking public outrage. The FCCPC intervened on February 27, directing the company to maintain its current pricing structure pending the conclusion of an investigative hearing scheduled for March 6. However, the Commission alleged that MultiChoice ignored the directive and proceeded with the price hike, flouting regulatory processes and undermining consumer rights.
In a statement, the FCCPC expressed concern over MultiChoice’s actions, describing them as a pattern of conduct that undermines fair competition and consumer protection. The Commission warned that it is reviewing further enforcement measures, including potential sanctions, penalties, and regulatory interventions, to ensure compliance and accountability.
The FCCPC reassured Nigerians of its commitment to protecting consumers from exploitative business practices and ensuring that dominant market players adhere to fair market principles and legal compliance.
The case highlights the ongoing tension between regulatory authorities and major corporations over pricing and consumer rights. As the legal proceedings unfold, the outcome could set a precedent for how regulatory bodies enforce compliance and protect consumer interests in Nigeria’s competitive market landscape.