A Federal High Court in Lagos has commenced contempt proceedings against Tunji Bello, executive vice chairman of the Federal Competition and Consumer Protection Commission (FCCPC), over alleged disobedience of a court order restraining the agency from enforcing its digital lending regulations.
The case marks a sharp escalation in an ongoing legal battle involving telecom operators, digital lenders, and federal regulators over the scope of authority in Nigeria’s rapidly expanding airtime and data credit market.
According to court filings in Suit No: FHC/L/CS/760/2026, brought by the Wireless Application Service Providers Association of Nigeria (WASPA), the court issued a Form 49 notice directing Bello to appear before Justice Ambrose Lewis-Allagoa on May 22, 2026, to show cause why he should not be committed to prison for contempt.
The notice follows an earlier interim order issued on April 15, 2026, which restrained the FCCPC and its officials from enforcing provisions of its Digital, Electronic, Online or Non-Traditional (DEON) Consumer Lending Regulations 2025 pending determination of the substantive suit.
The disputed regulations, introduced by the Federal Competition and Consumer Protection Commission (FCCPC) in July 2025, were designed to govern Nigeria’s fast-growing digital credit ecosystem, including airtime and data lending services.
They impose compliance requirements on operators relating to transparency of loan terms, data privacy, and debt recovery practices.
The controversy intensified after telecom operator MTN Nigeria suspended its Xtratime airtime lending service, citing compliance concerns tied to the new regulatory framework.
WASPA has challenged the FCCPC’s authority in court, arguing that the commission exceeded its statutory mandate by attempting to regulate technical aspects of telecommunications services, which it says fall under the jurisdiction of the Nigerian Communications Commission (NCC).
Central to the dispute is Regulation 24 of the DEON framework, which prescribes operational and backend requirements for service activation. WASPA maintains that these provisions amount to telecom regulation rather than consumer protection oversight.
Although the FCCPC later sought to vacate the interim injunction, the court declined and reaffirmed that its April 15 order remains binding. The matter has since been set for a hearing, with both the substantive suit and preliminary objections scheduled.
Court documents further indicate that Form 48 and Form 49 notices were served on the commission at its Abuja headquarters, but WASPA alleges that the FCCPC continued enforcement-related actions despite the restraining order triggering the contempt application.
Implications
The case could redefine the boundaries between consumer protection regulation and telecom sector oversight in Nigeria, particularly in determining whether airtime and data credit services fall under financial consumer credit regulation or telecommunications governance.
The court is expected to hear the contempt proceedings and related motions when Bello appears before Justice Lewis-Allagoa on May 22, 2026, a decision that could have far-reaching implications for Nigeria’s digital lending industry and millions of users dependent on airtime and data credit services.
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