The Federal Government said that British American Tobacco Nigeria Limited (BATN) and its affiliated companies will pay a $110 million penalty for infringements.
The Federal Competition and Consumer Protection Commission, FCCPC, announced this in a statement shared on its X page on Wednesday, following the Commission’s lengthy infringement against BAT and its associated organisations.
For BAT Parties to complete their duties under the Consent Order, the Commission withdrew outstanding criminal charges against BATN and at least one employee for attempting to impede an inquiry.
Remember that the Commission launched an active inquiry into British American Tobacco Nigeria Limited and other associated entities (BAT Parties) on August 28, 2020.
After receiving credible information on BAT’s infringement, the FCCPC obtained an Order and Warrant from the Federal High Court.
On January 25, 2021, the Commission conducted simultaneous and contemporaneous searches and seizures at the locations of various BAT Parties and a service provider,
“The Commission obtained substantial evidence from forensic analysis of electronic communications and other information/data obtained during the search, as well as other evidence obtained during and after the search from other legitimate sources.
“Upon full consideration of the record, BAT Parties’ additional articulation, representations and correspondence; totality of evidence procured, violations established under law, BAT Parties’ entry into, and conduct in cooperation and assistance under the Commission’s CAF; the Commission closed the investigation by the Commission and BAT Parties’ mutual execution of a Consent Order and Notice with both parties agreeing:
“That the BAT Parties pay a penalty of $110,000,000 (One Hundred and Ten Million Dollars) under and in accordance with Sections 155 of the FCCPA, Clause 11 of the Federal Competition and Consumer Protection Commission’s Administrative Penalties Regulations, 2020, and Clause 4.2 of the Federal Competition and Consumer Protection Commission’s Investigative Cooperation/Assistance Rules and Procedures, 2021;
“That BAT Parties’ shall be subject to compliance and monitoring under the Commission’s supervision for a period of 24 months to ensure appropriate behavioural and business practices modification to be more consistent with compliance with current competition laws/regulations and tobacco control efforts.”
It added that mandatory public health and tobacco control advocacy in a manner consistent with tobacco control legislation and regulations and acceptable to the Commission as a mitigating factor to prove a pattern of undermining and circumventing national tobacco control policies and regulations; and That BAT Parties shall provide Written Assurances to the Commission under Section 153 of the FCCPA as required.
“In exchange for BAT Parties fulfilling their obligations Under the Consent Order, the commission withdrew pending criminal charges against BATN and at least one employee concerning obstruction of the Commission by attempting to prevent the execution of the search warrant and initial lack of cooperation/compliance with steps in the investigation,” the commission said.
