Nigeria May Review Its Penalty In MTN Case – Standard Bank

Furthermore, Standard Bank said CBN has confirmed that it will not be debited for $2.6 billion which CBN had previously suggested that it should also be prepared to refund.

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Standard Bank
Standard Bank (Photo Credit: Techunzipped)

Standard Bank said on Tuesday that the Central Bank of Nigeria (CBN) may review its earlier decision on the penalty it imposed on the bank’s Nigerian unit.

Last month, CBN demanded $8,1 billion (R115 billion) allegedly paid as a dividend to MTN to be refunded to it.


The money was transfered by Standard Chartered, Stanbic IBTC Bank, Citibank and Diamond Bank.

Standard Chartered was fined 2.4-billion naira ($7.86m), Stanbic IBTC Bank 1.8-billion naira, Citibank 1.2-billion naira and Diamond Bank 250-million naira.


Last week, CBN issued a statement saying that “it is seeking an equitable resolution” to an $8.1 billion dispute with MTN, Africa’s largest mobile phone operator.


On Tuesday, Standard Bank withdrew its cautionary related to the MTN issue.

“Shareholders are hereby notified that the CBN has written to advise the Bank that it will examine new submissions and documentations made by the bank, and where justified, it will review its earlier decision on the penalty it imposed on the bank,” Standard Bank informed investors on Tuesday.

“The bank had communicated that it believed that it had acted properly in an agency capacity.”


Furthermore, Standard Bank said CBN has confirmed that it will not be debited for $2.6 billion which CBN had previously suggested that it should also be prepared to refund.


The bank said it will continue its engagements with the CBN.

“As the financial impact of the penalties levied by the CBN on the Bank has been published and sufficient clarity has now been provided by the CBN regarding the Bank’s relationship to the refund sought by the CBN, caution is no longer required to be exercised by Shareholders when dealing in their Standard Bank Group securities,” said Standard Bank.

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