FCCPC Takes Legal Action as MultiChoice Hikes DStv, Gotv Price

• FG will arraign John Ugbe, the CEO of MultiChoice Nigeria, and Adewunmi Ogunsanya, the company's chairman, along with several other senior officials, on charges related to violating the FCCPC Act of 2018
• The charges stem from their alleged refusal to cooperate with an FCCPC investigation into the company's price increase and anti-competitive conduct in the pay-TV sector
• MultiChoice recently raised subscription rates and sought an injunction to prevent the FCCPC from taking regulatory action, but a judge dismissed the lawsuit, allowing the investigation to proceed

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

The federal government will arraign John Ugbe, the company's managing director and chief executive officer, and Adewunmi Ogunsanya, the chairman of MultiChoice Nigeria Limited, on charges that they violated the Federal Competition and Consumer Protection Act of 2018.

Chizenum Nsitem, the Federal Competition and Consumer Protection Commission's (FCCPC) attorney, filed the application because the defendants were not present in court. Justice James Omotosho set the next hearing date for Tuesday.

Six senior officials from the pay-TV business, including Fhulufhelo Badugela, CEO of MultiChoice Africa Holdings; Retiel Tromp, Chief Financial Officer, Africa; and Keabetswe Modimoeng, Group Executive for Corporate Affairs, will also be arraigned alongside the two defendants.

Adebusola Bello (a director), Fuad Ogunsanya, Gozie Onumonu (Head of Regulatory Affairs and Government Relations), and the company itself are also named in the case.

Due to poor service of court documents, including the hearing notice, none of the defendants were present in court when the matter was called on Tuesday. The attorney for the prosecuting agency then requested an adjournment to allow them to take the necessary action, and the court granted it, setting a new date for the defendants to enter their pleas on October 7.

In the accusation filed on May 26, marked as FHC/ABJ/CR/197/2025, the defendants face seven counts. As directors of the company, Ogunsanya, Ugbe, and others are accused of causing MultiChoice Nigeria Limited to impede the investigation of the FCCPC on March 6 by refusing to produce documents, thereby committing an offense under Section 110 of the FCCP Act, 2018.

In response to an invitation from the FCCPC to explain the price increase, MultiChoice, the operator of DStv and Gotv, recently raised the subscription rates on its packages.

On May 8, Justice Omotosho dismissed MultiChoice's lawsuit seeking to prevent the FCCPC from pursuing administrative action against the company. The judge ruled that the claim was an abuse of the legal system, as it was filed after Festus Onifade, a lawyer, had filed a similar suit on the same matter, with MultiChoice and the FCCPC as parties.

On March 1, the FCCPC called on MultiChoice Nigeria Ltd. to explain the review of its subscription packages.

Concerned about the company's frequent price increases, potential abuse of market dominance, and anti-competitive conduct in the pay-TV sector, the commission ordered the CEO to attend an inquiry hearing on February 27.

The FCCPC also issued a strong warning, threatening to impose regulatory penalties if the price adjustment was not justified or if fair market principles were not followed. However, as stated in a letter dated March 3, MultiChoice sought an injunction in a lawsuit filed by its legal team, preventing the regulatory commission and its officers from executing the threat against the company.

MultiChoice increases DStv, GOtv subscription prices

Legit.ng reported that MultiChoice Nigeria has announced a price adjustment for its DStv and GOtv packages which will take effect from March 1, 2025.

The new price changes were made known in a statement titled, ‘Price adjustment on DStv and GOtv packages to business partners signed by John Ugbe chief executive officer of MultiChoice Nigeria.

Ugbe said the decision was reached after careful consideration and analysis of economic factors affecting the industry.

Source: Legit.ng