The Office of the Attorney-General of the Federation (AGF) argues that the suit is baseless and constitutes an abuse of court process.

The lawsuit, filed by Maduabuchi O. Idam Esq. on 29 April 2024 (Suit No. FHC/ABJ/CS/563/2024), demands that Multichoice allow customers to roll over unused subscriptions. The case also lists the Federal Competition and Consumer Protection Commission (FCCPC) and the National Broadcasting Commission (NBC) as defendants.

During proceedings on 19 February 2025, Multichoice’s counsel, Moyosore J. Onigbanjo (SAN), opposed the case. The legal representatives of the FCCPC and NBC confirmed that they had filed counter-affidavits against the suit, while the AGF’s lawyer also confirmed submitting a motion on notice. 

The presiding judge, Justice Inyang Ekwo, asked the claimant whether he had received and responded to all submissions. He confirmed this but stated that further affidavits needed to be exchanged. The court then scheduled the hearing for 6 May 2025.

The AGF’s motion, dated 25 October 2024, insists that the case should be struck out as the claimant failed to establish any wrongdoing by the AGF. The AGF’s lawyer, Maimuna Lami Shiru, stated:

“The AGF is not a regulatory body in respect of the subject matter of the claim and has no business in the suit. The AGF is not a proper or necessary party to the suit. The originating process is premature and defective as it relates to the AGF.”

The AGF’s office further asserted that its role does not extend to regulating Multichoice or any other TV service provider in Nigeria. It also accused the claimant of filing the case without the necessary court approval.

Background

Multichoice has had repeated issues in Nigeria over its pricing structure in recent times. The company previously justified its subscription adjustments by pointing out factors such as exchange rate fluctuations, rising content acquisition costs, and increased electricity tariffs.

The FCCPC, while acknowledging its role in consumer protection, clarified that it does not directly regulate business pricing. The NBC also noted that a prior court ruling had limited its authority to intervene in such matters.

In 2024, a tribunal fined the company ₦150 million and ordered a one-month free subscription for violating interim orders. The ruling was later overturned after the case was withdrawn.

However, Multichoice recently announced a fresh price increase across all DStv and GOtv packages, effective 1 March 2025. The company has blamed previous subscriber losses on multiple price hikes, inflation, and economic challenges.

The ruling was handed down by the Federal High Court in Abuja on June 11, 2024.

The court found Suleiman guilty of operating an unregistered investment scheme between 2017 and 2019, luring unsuspecting investors with talks of high returns. 

Despite knowing that her company lacked the necessary regulatory approvals, Suleiman continued to solicit funds, claiming that Famzhi was engaged in legitimate businesses such as farming and water production.

The prosecution, led by Moshood Adeyemi from the Attorney-General’s office, presented clear evidence including testimonies from six witnesses and a detailed investigation by the Securities and Exchange Commission (SEC). 

Mohammed Nakwada, a SEC official, testified that Famzhi was not licensed to conduct capital market operations, confirming the fraudulent nature of the investment scheme.

Investors began reporting issues in 2019 when Famzhi failed to return their principal investments or promised interest. The SEC had already flagged Famzhi’s activities as illegal in 2021, warning the public that neither the company nor its schemes were registered.

Suleiman’s defense, led by Barrister Doo Adikpo, argued that the prosecution did not meet the burden of proof. They contended that the SEC had inspected Famzhi’s operations during the registration process, implying some level of regulatory oversight. 

However, Justice Inyang Ekwo dismissed these arguments, noting that Suleiman’s own admission of continued fundraising without SEC approval was sufficient for conviction.

The court’s decision went beyond sentencing Suleiman to a five-year jail term to ordering the dissolution of Famzhi Interbiz Ltd. The company’s assets will be liquidated, and the proceeds will be used to compensate the defrauded investors.

This case, which gives Mariam Suleiman the right to appeal, is a cautionary tale for other companies operating in the financial sector without proper authorization.