FCCPC Opposes WhatsApp and Meta Platforms’ Bid to Quash $220 Million Fine

The Federal Competition and Consumer Protection Commission (FCCPC) is challenging WhatsApp and Meta Platforms’ appeal to dismiss a $220 million fine imposed on them due to alleged discriminatory practices in Nigeria.

This fine was reduced from an initial $6.18 billion after the FCCPC decided to focus on correcting the companies’ actions rather than punishing them financially. The fine was imposed on July 19, 2024, after the FCCPC expressed concerns about Meta’s allegedly abusive and invasive practices affecting Nigerian consumers and data subjects.

Meta’s legal team appealed to the Competition and Consumer Protection Tribunal, arguing that the FCCPC’s decision, penalties, and demands were vague, excessive, technically unfeasible, and unsupported by Nigerian law.

In response, the FCCPC’s legal team, led by Babatunde Irukera and Ikem Isierwena, submitted a brief defending the fine, stating that it was calculated according to the Administrative Penalties Regulations 2020 (APR) and was intended as a remedial measure rather than a punitive one. The Commission explained that the initial fine, totaling $6.18 billion, was reduced to $220 million based on the desire to address the issue without overburdening the companies.

Irukera further emphasized that the purpose of the fine was not to punish Meta, but to ensure compliance and prevent future harm to consumers. He likened it to financial penalties imposed on banks by Nigeria’s Central Bank, which are aimed at maintaining market stability.

He also argued that requiring criminal convictions to address corporate issues would undermine Nigeria’s regulatory framework and overburden its criminal justice system.

The FCCPC’s investigation found that Meta had violated constitutional rights by allowing unauthorized access to and misuse of private information, affecting about 51 million Nigerian consumers. This, the FCCPC claimed, went against the public interest and violated consumer rights.

Similar fines have been imposed in other jurisdictions, such as the €1.2 billion fine imposed on Meta by the European Data Protection Board in 2023 for violating EU privacy regulations. The courts will now decide on the legality of the FCCPC’s penalties.