The Federal High Court in Abuja has issued an interim order restraining MTN Nigeria and Airtel Networks Limited from suspending or restricting telecommunications services provided to Nairtime Nigeria Limited, pending the determination of a substantive suit challenging regulatory actions tied to digital lending operations.
The ruling, delivered on April 24, followed an ex parte application filed by Nairtime Holdings Limited and Nairtime Nigeria Limited, who alleged that their business operations were under threat due to planned disruptions by the telecom operators.
In suit number FHC/ABJ/CS/779/2026, the plaintiffs argued that MTN and Airtel intended to suspend, discontinue, or interfere with their access to key telecom infrastructure—including USSD channels, SMS, short codes, and billing systems—based on directives linked to the Digital, Electronic, Online or Non-Traditional Consumer Lending (DEON) Regulations 2025.
They maintained that such actions would amount to unlawful interference with their contractual rights, stressing that they operate as licensed value-added service providers under approvals issued by the Nigerian Communications Commission (NCC).
Ruling on the motion, the court granted an interim injunction preserving the status quo and protecting the plaintiffs’ access to telecom platforms.
The court held:“An order of interim injunction restraining the 1st and 2nd defendants/respondents, whether by themselves, their officers, servants, agents, or privies from suspending, restricting, discontinuing, or otherwise interfering with the access of the 2nd plaintiff to their platforms, channels, short codes, SMS, USSD, billing services and other telecommunications-enabled services during the subsistence of the 2nd plaintiff’s valid licence issued by the Nigerian Communications Commission.”
The court also ruled that telecom operators must not override existing contractual notice periods or dispute-resolution mechanisms in compliance with new regulatory directives, ordering that the status quo be maintained pending the hearing of the substantive suit.
The dispute comes against the backdrop of recent suspensions of airtime credit services, including MTN’s XtraTime and Airtel’s data credit offerings, which were halted in mid-April after both operators cited compliance obligations under new regulations introduced by the Federal Competition and Consumer Protection Commission (FCCPC).
The FCCPC’s Digital, Electronic, Online or Non-Traditional Consumer Lending (DEON) Regulations, introduced in July 2025, expanded oversight to include digital and non-traditional consumer lending services such as airtime and data credit.
However, stakeholders in the telecommunications sector have argued that the commission may have exceeded its statutory powers, insisting that services delivered through NCC-licensed infrastructure fall under the regulatory jurisdiction of the Nigerian Communications Commission as provided under the Nigerian Communications Act 2003.
The Association of Licensed Telecoms Operators of Nigeria (ALTON) estimates that the airtime lending segment is valued at between N300 billion and N400 billion annually.
Meanwhile, the FCCPC has maintained that it did not prohibit airtime credit services, stating that the suspensions were commercial decisions taken independently by telecom operators.
Boluwatife Enome
