Home Headlines Tribunal Upholds FCCPC’s $220m Fine Against Facebook, WhatsApp

Tribunal Upholds FCCPC’s $220m Fine Against Facebook, WhatsApp

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In a major victory for consumer protection and regulatory authority in Nigeria, the Competition and Consumer Protection Tribunal today upheld the $220 million fine imposed by the Federal Competition and Consumer Protection Commission (FCCPC) against Meta Platforms Incorporated (Facebook) and WhatsApp LLC.

Delivering judgment in Abuja, the three-member panel led by Honorable Thomas Okosun dismissed nearly all the appeals filed by Meta and WhatsApp, affirming the FCCPC’s findings of discriminatory and exploitative practices against Nigerian consumers.

Organic Creame

The Tribunal ruled that the Commission acted within its constitutional and statutory powers, finding no fault with the FCCPC’s investigative procedures or the substance of its Final Order issued on July 19, 2024. It also awarded an additional $35,000 in investigation costs to the Commission.

The case stemmed from a 38-month joint investigation by the FCCPC and the Nigeria Data Protection Commission (NDPC) into Meta and WhatsApp’s conduct, privacy practices, and consumer data policies, beginning in 2020.

In their appeal, Meta and WhatsApp challenged both the legal foundation and the conclusions of the FCCPC’s Order. However, the Tribunal resolved Issues 1 to 7 largely in favour of the Commission. It specifically dismissed claims of breach of fair hearing, reaffirming that the companies were given ample opportunity to respond during the investigation.

On the contentious matter of data protection authority, the Tribunal ruled that the FCCPC was acting within its statutory mandate under Section 104 of the FCCPA (2018), even in the context of privacy regulation.

While the Tribunal upheld almost all of the FCCPC’s findings, it set aside Order 7 of the Commission’s Final Order, citing insufficient legal basis. Nonetheless, the central elements of the penalty and the findings against Meta and WhatsApp remained intact.

Reacting to the ruling, FCCPC Executive Vice Chairman/CEO, Mr. Tunji Bello, hailed the judgment as a landmark victory for consumer rights in Nigeria. He praised the Commission’s legal team for their “exceptional diligence and forensic skills” and restated the FCCPC’s commitment to protecting Nigerian consumers and promoting fair business practices in line with President Bola Ahmed Tinubu’s Renewed Hope Agenda.

The FCCPC’s legal team was led by Mr. Babatunde Irukera, while Meta and WhatsApp were represented by Professor Gbolahan Elias (SAN).

Today’s judgment is expected to send a strong message to multinational corporations about the seriousness of Nigeria’s consumer protection and competition laws.

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