The board of MTN Nigeria Communications Plc, on Friday, announced the Federal Government’s decision to formally withdraw its demand for N242.244bn and $1.283bn it allegedly owed by way of revenue indebtedness.
This, the company told the Nigerian Stock Exchange was communicated through a letter by the Attorney General of the Federation and Minister of Justice, Abubakar Malami, dated January 8, 2020.
According to Ato Ukpanah, the company secretary of MTN Nigeria, the Federal Government’s letter confirmed that the withdrawal followed “careful review and due consultation with relevant statutory agencies.”
The matter has, however, been referred “to the Federal Inland Revenue Service FIRS and Nigeria Customs Service with a view to resolving contentious issues,” MTN explained further.
Consequently, the company said it would follow due court process to withdraw its legal action against the AGF and engage with the FIRS and NC on the issues, expressing commitment to the conduct of its business in accordance with applicable laws of the country.
Commenting on the development, chief executive of MTN Nigeria, Ferdi Moolman expressed satisfaction; commending the AGF for “his wisdom,” while assuring of the company’s dedication to building and maintaining cordial relationships with all regulators in the country.
MTN Nigeria, he continued, remains “fully committed to meeting our fiscal responsibilities and contributing to the social and economic development of Nigeria.”
The case by MTN Nigeria restraining the AGF from taking further action in respect of its orders for ($2bn) back taxes came up for initial mention before the Federal High Court of Nigeria Lagos Judicial Division on November 8, 2018.