The Competition and Consumer Protection Tribunal has
affirmed the $220 million fine levied against Meta Platforms Inc. by the
Federal Competition and Consumer Protection Commission (FCCPC).
In a statement released Friday, FCCPC’s Director of
Corporate Affairs, Ondaje Ijagwu, confirmed the ruling and noted that the
tribunal also awarded the commission $35,000 to cover the costs of its
investigation.
Ijagwu stated that the tribunal found the commission acted
within the bounds of its legal authority under the 1999 Constitution (as
amended), and that it properly executed its mandate.
The tribunal further ruled that the commission rightly
identified multiple violations by Meta and its subsidiary, WhatsApp, and that
its findings were legally sound.
The tribunal’s three-member panel was led by Honorable
Thomas Okosun.
WhatsApp and Meta’s legal team was led by Professor Gbolahan
Elias (SAN) while the FCCPC’s legal team was led by Mr. Babatunde Irukera. Both
teams made their final arguments on behalf of their respective clients on
January 28, 2025.
The FCCPC on July 19, 2024, issued a Final Order imposing a
$220 million administrative penalty after concluding that the companies engaged
in discriminatory and exploitative practices against Nigerian consumers.
The Commission said it started investigation into the
alleged unethical practice by Meta in 2020.
The case arose from a 38-month joint investigation initiated
by the FCCPC and the Nigeria Data Protection Commission (NDPC) into the
conduct, privacy practices, and consumer data policies of Meta Platforms and
WhatsApp.
Dissatisfied with the Order last year, Meta and WhatsApp
appealed to the Tribunal, challenging both the legal basis and the findings of
the Commission.
While ruling on Meta’s appeal, the Tribunal also validated
the Commission’s investigative procedures and processes.
The Tribunal resolved Issues 1 to 7 largely in favour of the
FCCPC, dismissing the appellants’ objections to the Commission’s findings,
orders, and legal competence.
One of the central issues (Issue 3) which alleged a breach
of fair hearing, was decided in favour of the Commission, with the Tribunal
affirming that the FCCPC fully discharged its quasi-judicial responsibilities
by affording the appellants ample opportunity to respond. The Tribunal found no
violation of constitutional due process.
On Issue 4, which questioned the Commission’s powers in
matters of data protection and privacy, the Tribunal held that the FCCPC acted
within its statutory mandate, reaffirming its authority under Section 104 of
the FCCPA to regulate competition and consumer protection even in regulated
industries.
On Issue 5, which challenged the Commission’s findings
regarding Meta’s privacy policies, the tribunal also resolved in the FCCPC’s
favour. The Tribunal found no error in the Commission’s conclusions and held
that the privacy policy in question did, in fact, offend Nigerian law.
While Issue 7 was largely resolved in favour of the
Commission, the Tribunal set aside Order 7 of the Commission’s Final Order,
stating that it lacked sufficient legal basis.
While expressing delight at the landmark judgement, FCCPC
Executive Vice Chairman/CEO, Mr. Tunji Bello, thanked the Commission’s legal
team for their exceptional diligence and forensic skills in assembling evidence
and marshalling their argument.
He restated FCCPC’s unwavering commitment to not only
championing the rights of Nigerian consumers but also ensuring fair business
practices in the country in accordance with FCCPA (2018) and consistent with
the Renewed Hope Agenda of President Bola Tinubu.
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