Connect with us

News

Econet Wireless Wins Again as International Tribunal Awards it Damages

Published

on

Kindly share this post

Econet Wireless Limited has said it has come out victorious for a second time in less than a month in long-running legal cases to establish its ownership rights to shares in the Bharti Airtel operator in Nigeria after the international tribunal hearing the case awarded it damages, Nigeria CommunicationsWeek has learnt.
The company said that  “We are naturally pleased that we received very clear findings in our favour in both of these actions. As SingTel (part-owner of Bharti Airtel) has been forced to acknowledge in its latest Q3 results, both outcomes are clearly “unfavourable rulings”
In an up-beat start to the year, EWL has not only won its long-running battle in the Nigerian Federal High Court to confirm its 5% stake in Bharti Nigeria, but has also been victorious in an International Arbitration examining the deal by which Celtel Nigeria, now owned by Bharti, seized control of 65% of the Nigerian operator in 2006.
The International UNCITRAL Tribunal (comprising senior Nigerian and English lawyers) was said to have found multiple breaches of a shareholders’ agreement by both the selling shareholders and Celtel Nigeria, ordering them to pay damages/equitable compensation to Econet (in an amount to be determined in a further round of the arbitration).
In a statement Econet said: “We are naturally pleased that we received very clear findings in our favour in both of these actions. As SingTel (part-owner of Bharti Airtel) has been forced to acknowledge in its latest Q3 results, both outcomes are clearly “unfavourable rulings” from their perspective – but to Econet they represent a vindication of its long campaign for restoration of its rights in Nigeria, and for compensation for loss of a controlling stake which has since been sold to Bharti for a premium of several billion dollars.”
It would be recalled that a as a Federal High Court in Lagos had late January this year ruled that the Bharti Airtel should reinstate EWL’s five percent shares in the company.
It also ordered Airtel Nigeria to revert to its former name, Econet Wireless Limited.
Econet Wireless, an early investor in the company, is an international company domiciled in the United Kingdom.

 

The company had opposed Zain’s decision to sell the Nigerian business to Bharti Airtel, claiming its right of first refusal.
Zain, however, went ahead to sell its African mobile business including Nigeria to Bharti in 2010 for $10.7 billion.
According to the summary of the judgement delivered by the Justice Shuaib, Econet is a shareholder of Bharti Airtel Nigeria Limited and holds five per cent of the issued shares of the company.
The Court, therefore, ordered that all actions, and resolutions taken by the company, since October 2003, at which Econet was entitled to be notified, and to participate in, as a shareholder, but was prohibited, were null and void
This, according to the court, includes decisions to sell shares, issue shares, and transfer shares to third parties.
Airtel Networks Limited has filed an appeal against the Federal High Court ruling which ordered it to restore the interest of Econet Wireless Limited (EWL) in the company.
In a statement, the company said: “In the light of the judgment by the Federal High Court of Nigeria regarding Econet Wireless Limited’s (EWL) claim to the ownership of five per cent equity in Airtel Networks Limited (Airtel Nigeria), an appeal against the said judgment has been filed by Airtel Nigeria. The Company abides by and has full confidence in the law of the land, and believes the Appeal Court will determine the appeal on its merits.
“In addition, the judgment will have no impact on the equity holding of other shareholders in Airtel Nigeria. We wish to assure our customers, employees and business partners that the ruling will in no way affect operations or the company’s ability to fulfill obligations to its stakeholders, the statement said.”


Kindly share this post

Nigeria CommunicationsWeek believes that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. So since 2007, we have devoted our energy to independent reportage of technology and how they affect lives.

News

British High Commission Reaffirms Strong Ties with Nigeria

Published

on

Kindly share this post

British High Commission in Nigeria has reiterated the strong, long-standing relationship between the United Kingdom and Nigeria following the release of the UK Immigration White Paper earlier today.

A spokesperson for the High Commission stated that the UK remains a top destination for Nigerians seeking opportunities to work, study, visit, and settle, acknowledging the valuable contributions Nigerians make to the UK economy and society.

The White Paper outlines reforms to legal migration, aimed at restoring order, control, and fairness to the system while promoting economic growth.

The spokesperson assured that changes would be gradual, with further engagement between the UK and Nigerian government officials once implementation details are finalized.

“The UK has a proud tradition as an outward-looking nation, investing and trading abroad, and welcoming the creativity, ideas, and diversity of those who come to contribute here,” the spokesperson said.

The UK government has pledged to work closely with Nigerian authorities to ensure a smooth transition as the new immigration policies take effect


Kindly share this post
Continue Reading

News

NERC Orders DisCos to Compensate Band A Customers in 557 Streets

Published

on

Kindly share this post

Nigerian Electricity Regulatory Commission (NERC) has directed nine electricity Distribution Companies (DisCos) to compensate Band A customers residing in 557 streets across their franchise areas for failing to meet the minimum power supply requirement under the new electricity tariff regime.

According to NERC, the affected DisCos must implement compensation across 152 electricity feeders due to poor supply in April.

The compensation will be provided through electricity credit or improved power supply, as outlined in the April 2025 Multi-Year Tariff Order.

The directive affects the following DisCos:

Abuja Electricity Distribution Company (AEDC)

Eko Electricity Distribution Company (EKEDC)

Port Harcourt Electricity Distribution Company (PHED)

Kano Electricity Distribution Company (KEDCO)

Kaduna Electricity Distribution Company (KAEDCO)

Ikeja Electric (IE)

Ibadan Electricity Distribution Company (IBEDC)

Benin Electricity Distribution Company (BEDC)

Enugu Electricity Distribution Company (EEDC)

The development follows a tariff hike of over 300% for Band A customers in 2024, which mandated a minimum daily power supply of 20 hours. Despite the increase, many consumers have continued to report poor service delivery, leading to the latest compensation directive.

NERC stated that affected DisCos must upgrade power supply in designated areas or provide electricity credits to customers who experienced service failures.


Kindly share this post
Continue Reading

News

SERAP Challenges CBN to Publish Local Government Allocations

Published

on

Kindly share this post

Socio-Economic Rights and Accountability Project has called on the Central Bank of Nigeria to immediately disclose whether it has commenced the direct disbursement of allocations to the 774 local government areas in Nigeria, following the Supreme Court’s landmark judgment nullifying state governors’ control over LGA funds.

In a letter dated 10 May 2025 obtained by our correspondent, addressed to the CBN Governor, Mr Olayemi Cardoso, and signed by SERAP’s Deputy Director, Kolawole Oluwadare, the group also demanded that the bank “widely publish the amounts, if any, so far sent directly to each of the local governments” and provide a detailed explanation of any payments already made—particularly to LGAs in Rivers State.

The group stated: “We are writing to request you to use your good offices and leadership position to immediately disclose whether the CBN has commenced the direct disbursement of allocations to the 774 local government councils in Nigeria from the Federation Accounts with the CBN, and to widely publish the amounts, if any, so far sent to each of the local governments.”

This request follows a Supreme Court judgment declaring the practice by governors and the FCT Minister of retaining and disbursing LGA allocations unconstitutional and unlawful.

The court ruled that no governor or agency has the authority to interfere with allocations meant for LGAs from the Federation Account.

Citing this judgment, SERAP argued: “Local government councils are entitled to a direct payment from the Federation Account of the amount standing to their credit in the said Federation Account. States should not be collecting, receiving, spending or tampering with the local government council funds from the Federation Account meant for the benefit of the councils.”

The advocacy group expressed concern that despite the ruling, many state governors have continued to “starve local governments of funds and put them in peril,” thereby undermining their autonomy and capacity to function as the third tier of government.

In the letter, the group warned that if the CBN fails to act within seven days, it would take legal action.

“If we have not heard from you by then, the Incorporated Trustees of SERAP shall take all appropriate legal actions to compel you and the CBN to comply with our request in the public interest,” the letter stated.

SERAP referenced a past revelation by former President Muhammadu Buhari, who in December 2022 described how governors allegedly short-changed LGA chairmen.

“If the money from the Federation Account to the state is about N100 million, N50 million will be sent to the chairman, but he will sign that he received N100 million. The chairman will pocket the balance and share it with whoever he wants to share it with,” Buhari had said.

The organisation argued that the CBN has a constitutional and statutory obligation to protect the financial interests of all tiers of government.

“The CBN ought to act in the public interest to protect the allocations in the Federation Account and the public funds disbursed from that Account directly to each of the constitutionally recognised three tiers of government,” it said.

Highlighting the March 2025 revenue distribution by the Federation Account Allocation Committee, SERAP noted that a total of N1.578 trillion was shared among the three tiers of government. It queried whether the LGAs had received their fair share directly, as mandated by the court ruling.

“Ensuring that all restrictions against direct disbursement of allocations from the Federation Account to the 774 councils are lifted will comply with the orders by the Supreme Court and stop states and the FCT from tampering with the allocations ahead of the 2027 general elections,” SERAP warned.

The group further argued that Nigerians have a legal and moral right to know how their money is being managed, referencing several legal frameworks, including the Nigerian Constitution, the Freedom of Information Act, the African Charter on Human and Peoples’ Rights, and the International Covenant on Civil and Political Rights.

“The public interest in publishing the information sought outweighs any considerations to withhold the information. Nigerians are entitled to the right to receive information without any interference or distortion, and the enjoyment of this right should be based on the principle of maximum disclosure,” SERAP stated.

The group also reminded the CBN that “the Freedom of Information Act is applicable and applies to public records in the Federation, including those kept by the CBN.”


Kindly share this post
Continue Reading

Trending