News
Federal High Court Strikes Down NBC’s 2.5% Gross Income Levy on MultiChoice
Justice James Omotosho of the Federal High Court Abuja has struck down Section 2 (10) (b) of the National Broadcasting Code, 6th Edition, which required broadcasters to pay 2.5% of their “Gross Annual Income” as an Annual Operating Levy.
This judgement followed a suit filed by MultiChoice Nigeria Ltd and Details Nigeria Limited (GO TV) against the National Broadcasting Commission (NBC).
Delivering judgement on Wednesday, Justice Omotosho, ordered that the provision be struck down and replaced with ‘Net Annual Income’ instead of the existing ‘Gross Annual Income.’
The court also barred the National Broadcasting Commission (NBC) from demanding the plaintiffs’ VAT remittance, FIRS reports, bank statements, audit adjustment journals, trial balances, and general ledgers for the purpose of computing the plaintiffs’ annual income, other than the annual audited accounts of the companies as stipulated in the NBC Code.
The judge stated that the NBC can only access the other financial documents of MultiChoice through sister agencies such as the Federal Inland Revenue Service (FIRS).
In the suit, the plaintiffs’ counsel, Moyosore Onigbanjo, SAN, sought several reliefs, including a determination of whether the NBC had the authority to demand any financial documents other than the annual audited accounts.
He also sought clarification on whether the term “gross annual income,” as used in the NBC Code, was fair and equitable.
“Income, as provided by the NBC Code 6th Edition, is not defined, nor is it defined in any previous editions or in the NBC Act of 2004,” the counsel submitted in court.
Onigbanjo also asked the court to determine whether the waiver or agreement between the plaintiffs and the NBC to pay a flat rate of N800,000,000 (Eight Hundred Million Naira) as Annual Operating Levy for the years 2020–2023, including certain previous years, was binding on both parties.
Counsel to the NBC, Victor Ogude SAN, argued before the court that the agreement was not binding on the NBC, as the NBC’s acting Director-General who entered into the agreement on its behalf acted beyond his powers.
He contended that the NBC was entitled to the full amount payable.
Ogude also urged the court to uphold the NBC’s oversight role over MultiChoice and Details Nigeria.
Delivering his verdict on Wednesday, Justice Omotosho, said with his experience as a trained economics teacher, running a business like the one operated by the plaintiffs requires significant capital and expenses. It is only fair, he said, that these expenses be deducted before the Annual Operating Levy is paid.
He stated that net income is the actual profit after subtracting all business expenses, adding that the taxable amount cannot be determined when calculating gross profit but should be based on net profit.
The judge emphasized that the Annual Operating Levy charged by the NBC is a form of tax imposed on broadcasters.
He held that it would be unjust to impose it on their gross income.
“The proper and lawful income to impose a levy on is the net income,” he said, adding that this aligns with tax laws and global best practices. “In the United States, for instance, companies pay a flat rate of 21% on their profits, determined after all expenses have been deducted. Similarly, in the United Kingdom, a 25% corporation tax is imposed on company profits.”
“From this Court’s knowledge of economics, gross income implies all money that accrues to a person or business within a specific time. This gross income typically does not account for company expenditures such as production costs, rent, vendor payments, staff salaries, taxes, and other costs. It is only after all these payments are made that the company determines its profit, known as net income.”
“Consequently, this Court holds that Section 2 (10) (b) of the National Broadcasting Code, 6th Edition, which demands 2.5% of Gross Annual Income from broadcasters as an Annual Operating Levy, is unconscionable, unfair, and stifling to the plaintiffs,” Omotosho ruled.
Furthermore, Omotosho noted that the plaintiffs had provided credible and documentary evidence showing they had faithfully paid their Annual Operating Levy (AOL) without fail, and the defendant did not challenge these documents.
He said the NBC’s claim that it was entitled to N4 billion, as stated in its letter dated August 15, 2023, was unsupported by any evidence.
“Simply basing its claim on the fact that the plaintiffs increased their subscription fees is grossly insufficient. First, there is no evidence before the court that subscription fees were increased. Second, the defendant failed to consider that the plaintiffs may have increased their production costs or incurred additional expenses. This Court refrains from speculation as the defendant has invited it to do,” Omotosho added.
Regarding the agreement, Omotosho ruled that when parties express their intention and enter into a binding agreement, neither party is allowed to abandon the agreement simply because one or more of its terms are unfavorable.
The judge declared that the agreement between the defendant and MultiChoice, or the waiver on the payment of N800,000,000 (Eight Hundred Million Naira) throughout their current “DTH license”, is binding on both parties.
He also restrained the NBC from demanding any additional sum from the plaintiffs as AOL for the years in which they have already made payments.
He issued a perpetual injunction restraining the NBC, its servants, agents, or privies from sanctioning, fining, or suspending the plaintiffs’ license, contrary to the court’s judgment on the issues raised.
News
Digital Africa Global Consult, NDPC Partner on Ground-Breaking “Nigeria Data Challenge” Initiative
In a bold and forward-looking move to embed a culture of data privacy in Nigeria’s educational landscape, Digital Africa Global Consult (DAGC), a leading technology advancement firm, on Friday, entered into a strategic partnership with the Nigeria Data Protection Commission (NDPC).
The collaboration was formalised through the signing of a Memorandum of Understanding (MoU) aimed at launching the Nigeria Data Challenge, a pioneering, education-focused initiative designed to inculcate data protection awareness among secondary school students across the country.
The Nigeria Data Challenge is more than a knowledge dissemination campaign. It is a structured, competitive learning program that introduces students to the fundamentals of data protection and digital privacy.
By engaging learners through curriculum-based activities, practical challenges, and assessments, the program seeks to nurture a generation of data-responsible citizens well-prepared for the demands of Nigeria’s digital future.
Speaking during the signing ceremony, Dr. Vincent Olatunji, National Commissioner and Chief Executive Officer of the NDPC, applauded Digital Africa Consult for initiating the challenge, which he described as timely and transformative.
He noted that the project complements the Commission’s existing Privacy Club Initiative in tertiary institutions and aligns with its broader mandate to cultivate a privacy-aware culture throughout Nigerian society.
“This partnership is a natural extension of our mission to build a data protection-conscious ecosystem in Nigeria. We are excited about the opportunity to reach young minds early, and this program promises to be a cornerstone in our awareness strategy,” Dr. Olatunji stated.
In his remarks, Dr. Evans Woherem, Chairman of Digital Africa Global Consult and a seasoned advocate of digital transformation in Africa, expressed appreciation to the NDPC for embracing the vision of early-stage data literacy.
He underscored the strategic importance of data as the “new oil” of the digital economy and emphasised the need to build data consciousness from a young age to prepare Nigeria for a competitive global digital environment.
“The future belongs to nations that understand and manage data responsibly. By starting from our secondary schools, we are planting the seeds of a resilient data economy,” Dr. Woherem said.
Adding further insight, Nneoma Ofodile, General Manager of Digital Africa Global Consult, highlighted the novelty and global relevance of the Nigeria Data Challenge.
“This is the first data-focused challenge of its kind anywhere in the world, making it not only a national milestone but also a global precedent. It aligns with Sustainable Development Goals (SDGs) 4, 9, and 16, promoting quality education, industry innovation, and strong institutions,” she stated.
She also noted the urgency of addressing the indiscriminate ways data is shared and mishandled by young people, often without their full understanding of the consequences.
“This initiative comes at a time when even students are becoming both victims and agents of data breaches, consciously or unconsciously. Awareness is not optional; it is essential,” she added.
Nigeria, like many nations in Africa, is rapidly digitizing across public and private sectors. With this digital evolution comes the imperative to protect personal data and promote ethical digital practices.
The establishment of the Nigeria Data Protection Commission in 2023 signalled a new era of regulatory oversight in line with global data protection trends, including the EU’s GDPR and similar frameworks adopted in countries like Kenya, South Africa, and Rwanda.
Yet, awareness of data rights and responsibilities remains low, particularly among the youth. Initiatives such as the Nigeria Data Challenge help bridge this critical knowledge gap by bringing data education into mainstream educational curricula.
The project is expected to scale through state-level rollouts and regional contests, eventually culminating in a national championship that will showcase top-performing schools and students.
This initiative arrives at a time when the digital economy is estimated to contribute significantly to Nigeria’s GDP, and data-driven innovation, spanning fintech, e-commerce, health tech, and AI—continues to surge. However, this growth is threatened by weak data protection compliance and poor digital hygiene among users.
The NDPC and Digital Africa Global Consult are optimistic that this partnership will ignite similar collaborations and inspire a new frontier in civic education, one that recognises data as both a right and a responsibility.
As Nigeria positions itself to be a digital leader in Africa, the Nigeria Data Challenge may well become a benchmark model for other countries aiming to develop grassroots data governance awareness.
Tony Elumelu, chairman, United Bank for Africa (UBA) and Heirs Holdings, has called on Africa to avow itself in the fast-evolving global technology landscape, calling for deeper partnerships, infrastructure investments, and recognition of the continent’s digital potential.
Tony Elumelu, chairman, United Bank for Africa (UBA) and Heirs Holdings,
Elumelu, who made this statement in a series of posts on his verified X handle over the weekend, questioned the continent’s current role in global tech innovation and value creation, noting that while technology is transforming the world, Africa risks being sidelined without urgent strategic action.
“We know technology is transforming our world, and the pace of transformation is accelerating. Where is Africa? Are we in the conversation, or are we being left behind?” Elumelu asked.
Citing Africa’s youthful, entrepreneurial, and digitally native population, Elumelu stressed the need for stronger global partnerships that empower African startups and tech developers to not only serve local markets but compete globally.
“Young Africans are digitally native, entrepreneurial, and hungry to build. What we need are more opportunities for partnership, more belief in our potential, and platforms to amplify our voices.
“Africa has led in digital banking and payments. Our value chains are ripe for transformation. Yet we need more investment, more platforms, and more belief in our potential.
“We know that many of the minerals that are techs’ foundation are found in Africa. But is Africa getting the benefit? Africa needs to capture the moment – ensure we have digital sovereignty – that African priorities are understood and met”
The UBA Chairman revealed that he attended an exclusive dinner with French President Emmanuel Macron and global technology executives at the Élysée Palace in Paris, where he sought to amplify Africa’s voice at the highest level of innovation discourse.
“I had enriching conversations with global tech CEOs, including the CEO of NVIDIA, Jensen Huang, on how innovation can and must solve humanity’s most urgent challenges—including those facing Africa,” he said.
Elumelu used the opportunity to advocate for the continent as the next frontier of global tech investment, calling attention to Africa’s unique demographics and the imperative for inclusive innovation.
Speaking further he said through his investment company, Heirs Holdings, remains committed to Africa’s digital transformation, actively backing tech ventures such as Heirs Technologies and Redtech Limited, which are building solutions tailored for the African market while competing on a global scale.
National Space Research and Development Agency (NASRDA) has called on African businesses to seize the opportunities emerging within the rapidly growing global space economy, which is projected to reach one trillion dollars annually by 2030.
The appeal was made by Dr Matthew Adepoju, director-general, NASRDA, during a press briefing at the weekend in advance of the second Africa Space Economy Conference and Exhibition (ASEC 2025), scheduled to take place in Abuja from 17 to 19 June.
The event, organised in collaboration with the Abuja Chamber of Commerce and Industry (ACCI), will focus on the theme “Space Economy and Emerging Markets in Africa”.
Dr Adepoju highlighted that the global space economy is on the verge of surpassing $500 billion per year, making it the fastest-growing economic sector worldwide.
He stressed that Africa must position itself at the forefront of innovation, science, and technology by investing in space-related ventures.
“This is the Fourth Industrial Revolution and Africa must not be left behind.
“It is time for us to take our rightful place at the forefront of global innovation, science and technology, with space technology being the pinnacle of human endeavour.
“The space economy is the fastest growing economic sector in the world and it is projected to hit one trillion dollars per annum. Currently it’s more than 500 billion dollars annually,” he said.
The conference aims to foster collaboration between industry leaders, academic institutions, and research organisations, all working to strengthen Nigeria’s space ecosystem.
Dr Adepoju praised President Bola Tinubu for his forward-thinking economic initiatives, noting the President’s directive to transform NASRDA into a revenue-generating body.
NASRDA, he said, is now committed to fully commercialising and industrialising space research. The upcoming conference is expected to attract international participants, with confirmed interest from countries such as China, the United States, and several European and African nations.
The agency is also preparing for the launch of four new satellites—three optical and one Synthetic Aperture Radar (SAR).
These satellites are intended to support national security, environmental monitoring, and economic surveillance, particularly in sectors such as the blue economy and oil and gas.
Dr Adepoju encouraged private sector involvement in areas including satellite technology, data services, rocketry, and space-based applications.
He stressed that with Nigeria being Africa’s most populous country, there is already a significant market for space-related products and services, and now is the time for African businesses to build capacity, invest locally, and retain economic value.
Speaking on behalf of Chief Emeka Obegolu, ACCI President, Mr Agabaidu Jideani, chamber’s director-general, noted that Africa has yet to fully tap into the space economy’s potential.
He pointed out challenges such as limited public awareness, infrastructure gaps, and evolving policy environments, but said these issues also present opportunities for innovation and investment.
“It was with this foresight that ACCI, through our Policy Advocacy Centre, in a strategic partnership with NASRDA, conceptualised the ASEC,” he said.
Dr Haruna Mohammed, co-chairman of the Conference Organising Committee, reiterated that the event is aimed at the private sector and will showcase how space-based technologies can aid in economic diversification, enhance infrastructure, and promote sustainable development across the continent.
Digital Africa Global Consult, NDPC Partner on Ground-Breaking “Nigeria Data Challenge” Initiative
Smartcash PSB Launches Access to Instant Motor Insurance via Leadway Assurance
GSMA, Mobile Industry Call for Strengthened Action to Advance Child Online Protection in Africa
Bolt Rewards Loyalty and Expands Branding at Lagos Family Fest
Fidelity Bank Refutes ₦5 Billion Bail Payment Claim, Labels Report “False”
News2 days agoWhy I am vying for AFRINIC board seat in 2025 election – Terry Edet
E-Financial2 days agoFidelity Bank ED, Kevin Ugwuoke takes over as President of Risk Managers Association
Telecom2 days agoCrypto Exchange MEXC Rolls Out P2P Support for Naira, Birr, and Rupee
General News2 days agoAirtel Concludes Nationwide Environment Week with Market Clean-Up by Employees
Telecom17 hours agoGSMA, Mobile Industry Call for Strengthened Action to Advance Child Online Protection in Africa
General News2 days agoCourt Orders Lawyer to Produce “Bail-Jumping” Client in MTN Cyber Fraud Case
General News17 hours agoTD Africa, HP Strengthen Partnership to Advance Africa’s Tech Ecosystem
News2 days agoElumelu, UBA Chair Seeks Digital Sovereignty for Africa