Central Bank of Nigeria (CBN) has suspended MTN Group dividend payment from its Nigerian subsidiary, until further notice.
This was made know by the telecoms giant in a quarterly update to its shareholders.
The company said it was not guilty of the illegal repatriation charges leveled against it by the Nigerian Senate, adding that the claims are unfounded and without merit.
The CBN had ordered the four commercial banks operated by MTN to suspend dividend payout from Nigeria. Addressing the issue, the company said: “MTN Nigeria, four commercial banks, certain MTN Nigeria directors and shareholders, the Central Bank of Nigeria and others appeared before the Senate on 20 October 2016 at the outset of this investigation.
“The allegations are that $13.97 billion was repatriated illegally by MTN Nigeria through its bankers. MTN Nigeria and its bankers are cooperating with the investigation with a view to resolving the matter as expeditiously as possible. “In the interim, the CBN has instructed the banks to suspend any remittance of dividends until further notice.
MTN Nigeria continues to refute the allegations that MTN Nigeria had improperly repatriated funds from Nigeria. “Consequently, MTN Nigeria will strongly defend any action that would be prejudicial to its interest. MTN Nigeria has no intention to make any dividend payments over the next six months.”
Meanwhile, the chief of staff to President Buhari, Alhaji Abba Kyari has written to the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC). The letter was written to the anti-graft bodies over allegations that he (Kyari) received N500million bribe to influence the reduction of the N1.04 trillion fine imposed on MTN.
