The Federal Competition and Consumer Protection Commission (FCCPC) has imposed a $110 million fine on British American Tobacco (BAT) Nigeria and its affiliate companies.
This penalty stems from numerous violations of the FCCP Act and other regulations.
The management of the commission in Abuja stated on Wednesday, asserting that the implicated companies had transgressed both corporate regulations and the National Tobacco Control Act, alongside other legal instruments.
The specified amount was determined through mutual engagement between the Commission and BAT parties, following the FCCPC’s Cooperation/Assistance Rules & Procedure (CARP), 2021.
The FCCPC stated that under its Cooperation/Assistance Framework (CAF), benefits may include potential reductions in monetary penalties and the possibility of waiving the application of the Commission’s Administrative Penalties Regulations 2020, among other advantages.
“BAT parties shall provide written assurances to the Commission pursuant to Section 153 of the FCCPA as required.
“In exchange for BAT parties fulfilling their obligations under the Consent Order, the Commission withdrew pending criminal charges against BATN and one employee for attempting to prevent execution of the search warrant and initial lack of cooperation/compliance with steps in the investigation.
“The Commission on August 28, 2020, opened an active investigation concerning British American Tobacco Nigeria Limited and other affiliated companies (BAT Parties).
“The commencement of the investigation was based on the Commission’s satisfaction that a series of credible pieces of information and intelligence were actionable enough for broader and deeper inquiry,” the Commission said.
Speaking further, FCCPC said the outcome of the investigation demonstrates the Commission’s desire as well as will to enforce the law and hold businesses accountable; even when it takes complex, painstaking and protracted investigations.
Furthermore, FCCPC said that mandatory public health and tobacco control advocacy would be done by the companies in a manner compliant with tobacco control legislation and regulations as part of the agreement.
“Upon satisfying the Federal High Court that there was probable cause and sufficient evidence to exercise advanced statutory regulatory/investigatory tools, the court issued an Order and Warrant of Search and Seizure.
“The Commission on Jan. 25, 2021, executed simultaneous and contemporaneous searches and seizures at multiple BAT parties locations and a location of a service provider.
“The Commission gathered, received and procured substantial evidence from forensic analysis of electronic communications and other information/data obtained during the search, as well as other evidence procured during, and after the search from other legitimate sources.
“Additional investigation, including proffers, hearings, transcripts of sworn testimonies, and continuing analysis of evidence established and supported multiple violations of the FCCPA and other enactments,” FCCPC added.
