CBN Governor, Godwin EmefieleThe Central Bank of Nigeria (CBN) has forgiven MTN Communications Limited (MTNN) on its earlier directive that the communications giant should reverse repatriations, valued at $8.1 billion done on its behalf by four commercial banks between 2007 and 2015 on the basis of Certificates of Capital Importation (CCIs) irregularly issued to it (MTNN).
In a statement today, Monday, by the CBN’s Director of Corporate Communications, Isaac Okorafor, the Nigeria apex bank said that the decision to forgive MTNN followed the review of the case with the additional documentation which the company provided it.
“The CBN has concluded that MTNN is no longer required to reverse the historical dividend payments made to MTN Nigeria shareholders.
“However, the CBN identified that the proceeds from the preference shares in MTNN’s private placement remittances of 2008 were irregular having been based on CCIs that were issued without the final approval of CBN.
“The CBN and MTNN have mutually agreed that the aforementioned transaction be reversed notionally to bring it into full compliance with foreign exchange laws and regulations.
“The parties have resolved that execution of the terms of the agreement will lead to amicable disposal of the pending legal suit between the parties and final resolution of the matter.
“The CBN assures foreign investors that the integrity of the CCIs issued by authorized dealers remain sacrosanct. Potential investors are encouraged to take advantage of the enormous investment opportunities that abound within Nigeria.”
The Central Bank had waded into the matter in August this year, culminating in the MTNN holding several meetings with the CBN in the course of which MTNN supplied additional material information, not previously offered to the apex bank, satisfactorily clarifying its remittances.
