Multichoice reacts to Tribunal’s verdict after new price of DSTV, GOTV

• The CCPT's decision on a N150 million fine and a free monthly membership order was challenged by Multichoice Nigeria
• Multichoice alleges that the Tribunal penalised it without providing its legal representative with a chance to refute the price hike
• Multichoice emphasised that the Tribunal had already decided on its price hike, prohibiting its panel from overseeing the same issues

Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market.

The Competition and Consumer Protection Tribunal's (CCPT) decision, which imposed Multichoice Nigeria with a N150 million fine and a "free monthly subscription order," has been appealed.

Multichoice alleges that the Tribunal penalized it without providing its legal representative with a chance to refute the price hike. Photo Credit: DSTV, Carlos Barquero Perez
Source: Getty Images

In an appeal that it filed with the Court of Appeal in Abuja, the Pay TV provider presents further arguments for why the appellate court ought to overturn the CCPT verdict.

This is stated in MultiChoice's notice of appeal, in which the company requests that the Court of Appeal rule that the Tribunal "erred in law."

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Multichoice arguments

Multichoice claimed in a Leadership report, that the Tribunal fined it without allowing its legal counsel to defend the price increase.

The pay TV maintains that since the Federal Competition & Consumer Protection Council has not yet decided on the complaint, the Tribunal should not have handled it.

It emphasised that the Tribunal had already decided on its price hike, prohibiting its panel from overseeing the same issues in purported violation of the law.

Multichoice emphasised that the attorney did not request a fine of N150 million or a complimentary one-month subscription in opposition to it. Additionally, it was believed that the Tribunal took these actions without consulting all of its subscribers.

The firm also emphasized that, by taking advantage of a lawyer's personal problems with his subscription package, the Tribunal wrongly fined it a significant amount.

Multichoice insists Tribunal not disobeyed

Multichoice reaffirmed to the Court of Appeal that when a party files an application contesting the court's authority to oversee an issue, it cannot be considered that the party has disregarded an order of the court.

Multichoice appealed,

The CCPT has said it  would review the reasons identified by Multichoice, noting that the agency could involve regulatory bodies such as the National Broadcasting Commission (NBC).

This comes after Legit.ng reported that MultiChoice, owners of DStv and GOtv, may have reverted to the old subscription prices following a court order mandating that the pay television company halt its move to hike prices.

Legit.ng checks on the firm's apps on Sunday, June 16, 2024, showed that the company had reverted to the old prices. This came after subscribers paid the new rates for May 2024 following the hike.

MultiChoice suffers revenue decline

Legit.ng reported that the parent company of MultiChoice Nigeria, MultiChoice Group, has disclosed a 30.77% decline in subscriber income from Nigeria for the full fiscal year that concludes in March 2024.

Despite the hike in prices of subscription fees two times, BusinessDay reported that revenue decreased to $341.72 million from $493.59 in the prior year.

The company attributed this decrease to several factors, including increased fuel costs, historically high inflation that is above 33%, and the depreciation of the naira.

Source: Legit.ng