Nigeria’s Federal Competition and Consumer Protection Commission has secured a 110-million-dollar enforcement action against the British American Tobacco Nigeria Limited and other affiliated companies (BAT Parties).
In a statement by the commission on their X page, it was reported that the development was for a range of violations of the Federal Competition and Consumer Protection Act, National Tobacco Control Act and sundry legal instruments.
Other affiliated companies include British American Tobacco Marketing (Nigeria) Limited (BATMN), British American Tobacco Plc and British American Tobacco (Holdings) Limited.
On August 28, 2020, the Commission launched an active investigation into BATMN. This decision was made because the Commission was satisfied that several reliable intelligence reports and pieces of information were sufficient to warrant a more thorough investigation into specific acts by, for, and on behalf of BAT Parties.
The statement read “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.
“In furtherance, and under the Order and Warrant, the Commission on January 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.
“During the investigation and in furtherance of mutual engagements between the Commission and BAT Parties, BAT Parties in writing sought, and the Commission accepted BAT Parties into cooperation under the Commission’s Cooperation/Assistance Rules & Procedure, 2021 (CARP).
“The Cooperation/Assistance Framework (CAF) provides for benefits such as possible reduced monetary penalties (Rule 4.1); waiver of the application of the Commission’s Administrative Penalties Regulations 2020 (Rule 4.2); as well as prosecutorial discretion, particularly Rules 5.1 and 5.3 (subject to compliance with Rules 3 and 5.4).
“Upon full consideration of the record, BAT Parties’ additional articulation, representations and correspondence; the totality of evidence procured, violations established under law, BAT Parties’ entry into, and conduct in cooperation and assistance under the Commission’s CAF; the Commission closed the investigation by the Commission and BAT Parties’ mutual execution of a Consent Order and Notice with both parties agreeing:
“That BAT Parties shall pay a penalty of $110,000,000 (One Hundred and Ten Million Dollars) under and under Sections 155 of the FCCPA, Clause 11 of the Federal Competition and Consumer Protection Commission’s Administrative Penalties Regulations2020 and Clause 4.2 of the Federal Competition and Consumer Protection Commission’s Investigative Cooperation/Assistance Rules and Procedures, 2021;
“That BAT Parties’ shall be subject to compliance and monitoring under the supervision of the Commission for 24 months to ensure appropriate behavioural and business practices modification to be more consistent with compliance with prevailing competition laws/regulations; and tobacco control efforts”
