The Federal Competition and Consumer Protection Commission (FCCPC) on Saturday warned Meta Platforms Incorporated (Facebook) and WhatsApp LLC that its regulatory sanctions of N220 million administrative penalty against them for serial operational violations subsists despite their threat to exit Nigeria.
On July 19, 2024, the Commission imposed the fine on the two organizations following the conclusion of investigations into the activities of the companies for engagement in discriminatory and exploitative practices against Nigerian consumers in violation of the provisions of stipulated regulations.
The investigation against Meta Platforms and WhatsApp was for allegations of violation of the provisions of the Federal Competition and Consumer Protection Act (FCCPA) and the Nigeria Data Protection Regulation (NDPR).
During the investigation, the Commission said it found that Meta Parties engaged in multiple and repeated infringements of the FCCPA (2018) and the NDPR, by denying Nigerians the right to control their personal data, transferring and sharing Nigerian user data without authorisation, discriminating against Nigerian users compared to users in other jurisdictions and abusing their dominant market position by forcing unfair privacy policies.
Although Meta and WhatsApp filed an appeal against the fine, particularly claiming the Commission lacked the legal authority to impose such sanctions against them, the Competition and Consumer Protection Tribunal last month affirmed the ruling and ordered full complaince.
In their reactions, Meta and WhatsApp threatened to withdraw their services and quit Nigeria if the fine is allowed to stand.
But the consumer protection agency in a counter-reaction on Saturday said the threat to quit Nigeria was a ploy by the two organizations to “induce negative public reaction and potentially pressurs it to reconsider its decision.”
“Threat to quit Nigeria does not absolve Meta/WhatsApp of liability of the infractions,” the Commission said.
Citing similar situations in other jurisdictions involving Meta, the Commission said the organization was fined $1.5billion for similar breaches in Texas, and recently another $1.3billion for violating European Union Data Privacy Rules.
“Elsewhere in India, South Korea, France and Australia, Meta faced varying penalties for similar breaches. But Meta never resorted to the blackmail of threatening to exit those countries. They obeyed,” the Commission noted.
The recent affirmation of FCCPC’s final order by the Competition and Consumer Protection Tribunal, the Commission pointed out, requires Meta Parties to take steps to comply with Nigerian law, stop exploiting Nigerian consumers, change their practices to meet Nigerian standards and respect consumer rights, consistent with international best practices.
“Threatening to leave Nigeria does not absolve Meta of liabilities for the outcome of a judicial process,” it warned.
“For the avoidance of doubt, the FCCPC remains committed in its pursuit of consumer protection and data privacy towards ensuring a fairer digital market in Nigeria,” the Commission added.
