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Home Courts MTN Withdraws Suit as AGF Drops $2bn Tax Demand

MTN Withdraws Suit as AGF Drops $2bn Tax Demand

Abubakar Malami
Abubakar Malami

MTN Withdraws Suit as AGF Drops $2bn Tax Demand

Telecommunications firm, MTN Nigeria Communications Limited, on Thursday discontinued a N3bn rights enforcement suit it filed against the Attorney General of the Federation, Abubakar Malami (SAN).

MTN had filed the suit to challenge an August 20, 2018 letter written to it by the AGF, demanding $2bn unremitted tax.

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Justice C.J. Aneke was told on Thursday that the AGF had withdrawn the demand letter from MTN.

The counsel for the AGF, Habibat Ajana, pointed the judge’s attention to a January 8, 2020 letter by the AGF to MTN, wherein the chief law officer said he had reviewed the issue and had decided to withdraw the demand letter for $2bn tax.

MTN’s lead counsel, Chief Wole Olanipekun (SAN), said having withdrawn the demand letter, his client would drop its case against the AGF.

Consequently, Justice Aneke struck out the suit.

In the suit, MTN had prayed the court to award N3bn against the AGF for rights infringement.

Olanipekun had argued that in writing the demand letter to MTN, Malami acted beyond his powers and violated the provisions of Section 36 of the constitution on fair hearing with “the purported revenue assets investigation” he carried out on the firm’s activities covering 2007 to 2017.

The court had in a May 8, 2019 ruling dismissed the AGF’s preliminary objection to the suit.

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