Tribunal Upholds FCCPC’s $220m Fine Against Meta, WhatsApp for Data Privacy Breaches

Abuja,Nigeria — The Competition and Consumer Protection Tribunal has upheld the $220 million penalty levied by the Federal Competition and Consumer Protection Commission (FCCPC) against tech giants Meta Platforms Inc. and WhatsApp LLC for breaching data privacy regulations in Nigeria.

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In a ruling delivered on Friday by a three-member panel led by Thomas Okosun, the Tribunal dismissed the appeal filed by Meta and WhatsApp, affirming that the FCCPC acted within the scope of its constitutional and statutory powers throughout its investigation and subsequent sanctioning of the companies.

The judgment further directed Meta and WhatsApp to pay an additional $35,000 to the FCCPC to cover the cost of the investigation. Both fines are to be paid within 60 days.

The FCCPC’s Director of Corporate Affairs, Ondaje Ijagwu, in a statement following the judgment, said the Tribunal endorsed the Commission’s actions on nearly all the contested issues. He described the verdict as a significant affirmation of the FCCPC’s mandate and investigative procedures.

“The Tribunal specifically determined that the Commission complied with prevailing laws, discharged its mandate, and exercised its powers within the confines of the 1999 Constitution (as amended),” the statement read.

The dispute arose from a joint 38-month-long investigation conducted by the FCCPC and the Nigeria Data Protection Commission (NDPC) into the consumer data practices of Meta and WhatsApp, which began in 2020. The FCCPC, on July 19, 2024, imposed a $220 million fine on Meta for multiple violations related to data privacy.

Meta, the parent company of WhatsApp, Facebook, and Instagram, contested the FCCPC’s decision, questioning the legal foundation and accuracy of the Commission’s findings. The appeal hearing saw the legal team for Meta and WhatsApp led by Senior Advocate of Nigeria (SAN), Prof. Gbolahan Elias, while the FCCPC was represented by Mr. Babatunde Irukera.

In its ruling, the Tribunal resolved Issues 1 through 7 largely in favour of the FCCPC. Notably, Issue 3—concerning allegations of a breach of fair hearing—was decided in favour of the Commission. The Tribunal confirmed that Meta and WhatsApp were given sufficient opportunity to present their case and that due process was not violated.

On Issue 4, which challenged the Commission’s authority over matters involving data protection, the Tribunal reaffirmed the FCCPC’s statutory mandate under Section 104 of the Federal Competition and Consumer Protection Act (FCCPA), 2018, stating that it retained jurisdiction even in sectors regulated by other agencies.

Additionally, Issue 5, which contested the Commission’s findings about Meta’s privacy policies, was also ruled in favour of the FCCPC. The Tribunal maintained that the policies in question were inconsistent with Nigerian laws and that the Commission had rightly concluded they violated national data protection standards.

However, while the Tribunal upheld most of the Commission’s Final Order, it set aside Order 7, citing a lack of sufficient legal grounding.

FCCPC Executive Vice Chairman and CEO, Mr. Tunji Bello, welcomed the judgment, applauding his legal team’s diligence and precision in building the case. He reiterated the Commission’s dedication to protecting consumer rights and maintaining fair business practices in line with the FCCPA and the Renewed Hope Agenda of President Bola Ahmed Tinubu.

“The Tribunal’s decision reinforces our responsibility to uphold justice and accountability, especially in an increasingly digital marketplace,” Mr. Bello said.


Copyright 2024 REPORT AFRIQUE (RA). Permission to use portions of this article is granted provided appropriate credits are given to www.reportafrique.com and other relevant sources. This Article is Fact-Checked. See Policy.
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