Strangling the goose that lays the golden eggs is something that almost all African governments know how to do only too well. One such incident is currently playing itself out in the Nigerian senate, where the MTN Group stands accused of having illegally repatriated cash out of its biggest market for more than 10 years.Nigerian senators have grilled the executives of the company, along with those of four banks and the trade minister, demanding to know why they allegedly helped MTN shift about US$14bn out of the country, starting in 2006. MTN denies the charges, saying it legally repatriated profits to pay dividends to its parent company. Naturally, this has proved quite costly for investors in the telecoms firm, with the stock hitting lows last seen seven years ago.Essentially, the accusation is that MTN failed to obtain certificates of capital importation from the central bank within 24 hours of bringing capital into the country. This process is part of the federal government’s cap...
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