MTN CEO Resigns After Compulsory Fine by Nigeria

The Chief Executive Officer of MTN, Mr Sifiso Dabengwa, has resigned, following the 5.2 billion dollar fine imposed on the company by the Nigeria Communications Commission (NCC). Dabengwa made this known in a statement sent to newsmen on Monday in Abuja. He said that the resignation was in the best interest of MTN, which has seen its share price plummet since the fine was announced.
“Due to the most unfortunate prevailing circumstances occurring at MTN Nigeria, I, in the interest of the company and its shareholders, have tendered my resignation with immediate effect,’’ Dabengwa was quoted as saying.
It will be recalled that the 5.2 billion dollar fine was imposed on the company in October after it failed to deactivate unregistered SIM cards from its network.
The company had been negotiating with the Nigerian authority on the fine, but a source at the NCC said that the commission had turned down a request for downward review of the fine. MTN currently has no fewer than 60 million subscribers in Nigeria.