Compliance Monitoring and Enforcement Report
(Quarter 1 - 2016)

1. Commission Sanctions Visafone Communications Limited

   The Commission pursuant to its regulatory oversight sanctioned Visafone Communications Limited with a fine of N5,000,000.00 (Five Million Naira) in March 2016 for non-compliance with the Commission’s Directive on the End of Call Notification (EOCN) to subscribers on their networks.

2. Warning / Desist Order to Arctic Spatials Limited and  VODACOM Business  Africa Nigeria  Limited over  Breach of the  Terms  and Conditions of Automated Vehicular Tracking Services Licence (AVTS

   Arctic Spatials Limited entered into a joint venture agreement with Vodacom Business Africa Nigeria Limited for the marketing & distribution of AVTS services without obtaining approval from the Commission contrary to Condition 13 of the terms and conditions of its licence.

   The Commission in furtherance to Paragraph 14 of the Nigerian Communications Enforcement (Enforcement Processes etc.) Regulations 2005 considered the plea for leniency by the licensees and given that these licensees are first-time offenders, hence issued them with a warning/desist order in this regard.

3. Compliance Monitoring of Commission's Direction on Routing of a Minimum of 10% of Interconnect Traffic through Interconnect Exchange Licencees

   The Commission pursuant to Section 53 (1) of the NCA 2003 issued a direction in April 2009 that all operators should route a minimum of 10% of their inter- operator traffic through licensed Interconnect Exchange operators in locations where they have point of presence (POP) across the country.

   This direction is aimed at providing interconnection across the networks and encourage routing of traffic through interconnect exchange operators which is necessary to reduce network congestions and mitigate the quality of service challenges.

   Consistent with the mandate of the Commission to monitor and ensure operators’ compliance with extant rules, regulations, directions and guidelines, the Compliance Monitoring and Enforcement department carried out a compliance monitoring check to confirm the level of compliance to the above direction. Our monitoring process involved collecting traffic data for the period of December 2015 and January 2016 (inbound & outbound) from the Network Operators as well as from the major Interconnect Exchange Houses.

   Having reviewed the data, it was revealed that all the Mobile Network Operators except Globacom complied with the 10% minimum threshold of interconnect traffic to be routed through the interconnect exchange operators.

   Consequently, the Commission has commenced the necessary enforcement action for this breach.

4. Engagement Session with Mobile Network Operator and Value Added Service Providers Regarding Unsolicited Messages and other Unfair Practices

   he Commission continues to be inundated with complaints by the Nigerian mobile telephone subscribers regarding unsolicited text messages and unauthorised subscription of Value Added Services (VAS) in the Nigerian telecoms industry.

   In the same vein, the National Assembly as the representatives of the Nigerian people has also raised concerns regarding this menace and has directed the commission and industry stakeholders to find a lasting solution to this problem.

   In furtherance of the above, the Commission had an engagement session with service providers (MNOs & VAS Providers) on Friday, March 18, 2016 in Lagos.

   The engagement session was aimed at proffering immediate and lasting solution to the nuisance of unsolicited messages and other unfair practices by the VAS providers and the Mobile Network Operators.The Commission has since commenced the process of implementing the resolutions reached during the engagement session.

5. Compliance Monitoring Regarding the Engagement of Unlicensed Service Provider for the Provision Internet/Data Access by some Financial Insititutions in Nigeria

   Following the Commissions’ surveillance and intelligence gathering exercise, it was discovered that some financial institutions in Nigeria engaged the service of unlicensed service providers for their internet and data services. In line with Commission’s compliance processes, these banks were requested tso provide the names and details of their service providers in this regard.

   Arising from this compliance check, the Commission has discovered that forty-one (41) companies engaged were operating without the requisite authorization. To this end, the Commission has commenced the necessary enforcement process in line with the provisions of the Nigerian Communications Act 2003.