MTN Group’s shares fell almost 7% after Nigeria’s government said Africa’s biggest mobile operator evaded taxes, and has urged a Lagos court not to block a $2bn penalty. The high court of Lagos should throw out MTN’s attempt to stop it from paying backdated taxes, TA Gazali, a government lawyer, said in court on Tuesday.

Wole Olanipekun, a lawyer for MTN, said Nigeria’s attorney- general, who imposed the penalty on the mobile carrier, had no right to do so. MTN has previously denied it did not pay taxes properly in the West African nation. The case has been adjourned until May 7. MTN fell as much a 6.8%, the most in more than five months, before paring losses to 2.1% by noon in Johannesburg. MTN’s share price has fallen 17% since it was hit by a double Nigerian penalty in mid-2018. The Central Bank of Nigeria first ordered it to transfer $8.1bn of repatriated dividends back to the country, before the attorney-general announced the measure on taxes. The company settled the form...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now