He Federal Competition and Consumer Protection Commission (FCCPC) said on Wednesday that British American Tobacco Nigeria Limited (BATN) and its affiliated companies will pay a fine of $110 million for multiple violations.
The FCCPC announced this in a statement on Wednesday, noting that the affiliated companies are British American Tobacco Marketing (Nigeria) Limited (BATMN), British American Tobacco Plc and British American Tobacco (Holdings) Limited.
In order for the company and other affiliated entities to comply with their obligations under an agreed upon consent order, the commission dropped pending criminal charges against BATN and at least one employee.
According to a statement from the FCCPC on Wednesday, an investigation was launched on August 28, 2020, after the commission obtained a warrant and a search and seizure warrant.
Substantial evidence, including forensic analysis and testimony, revealed several violations and the BAT parties cooperated under the Commission’s Cooperation/Assistance Rules and Procedures, 2021.
“The Commission collected, received and 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.
“Further investigation, including bids, hearings, transcripts of sworn testimony, and ongoing analysis of evidence, established and supported multiple violations of the FCCPA and other laws.
“During the investigation and to promote mutual engagements between the Commission and the BAT Parties, the BAT Parties requested in writing, and the Commission agreed, that the BAT Parties cooperate in accordance with the Commission’s Cooperation/Assistance Rules and Procedures, 2021 ( CARP).
“The Cooperation/Assistance Framework (CAF) provides for benefits such as possible reduced monetary penalties (Rule 4.1); waiver of the application of the Commission’s 2020 Administrative Sanctions Regulations (Rule 4.2); as well as prosecutorial discretion, particularly Rules 5.1 and 5.3 (subject to compliance with Rules 3 and 5.4),” he said.
After reviewing the evidence and cooperation, the FCCPC parties and BAT closed the investigation through a consent order, according to the statement, adding that the agreement involves the BAT parties agreeing to a fine of $110 million, subject to compliance monitoring. of 24 months.
“That the BAT Parties will pay a fine of $110,000,000 (One Hundred Ten Million Dollars) under and in accordance with Sections 155 of the FCCPA, Clause 11 of the Administrative Sanctions Regulations of the Federal Competition and Consumer Protection Commission, 2020 and Clause 4.2 of the Federal Competition Regulations. and Consumer Protection Commission Investigation Cooperation/Assistance Rules and Procedures, 2021,” it said.
Additionally, the companies committed to mandatory public health promotion and tobacco control, the FCCPC said.
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The Commission said it dropped pending criminal charges related to obstruction of the investigation, in line with its dedication to fair markets, consumer protection and law enforcement.
The statement said the outcome of the investigation reflects the commission’s commitment to holding companies accountable, including through complex investigations, as a distorted market harms consumers and undermines economic stability and growth.