Court rejects FCCPC’s fresh bid to stop airtime lending

By Innocent Anaba

A Federal High Court sitting in Lagos has refused the application of the Federal Competition and Consumer Protection Commission, FCCPC, seeking to vacate the interim injunction restraining it from enforcing disputed provisions of the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations (DEON Regulations) 2025 against members of the Wireless Application Service Providers Association of Nigeria, WASPAN.

The trial judge, Justice A. Lewis-Allagoa in Suit No: FHC/L/CS/760/2026, had on April 15, granted interim injunction against the commission through an ex parte motion filed on April 14 by WASPAN.

The order specifically restrained FCCPC, its officers, agents and representatives from implementing or giving effect to the contested regulations pending further hearing.

At the resumed proceedings on April 28, 2026, originally scheduled for hearing of WASPAN’s motion on notice for interlocutory injunction, FCCPC pressed the court to either proceed immediately or discharge the subsisting interim order.

However, WASPAN opposed the move, arguing that FCCPC had only recently served its preliminary objection and that due process entitled the claimant sufficient time to respond.

The association further maintained that vacating the restraining order would effectively hand the regulator unchecked authority to enforce rules whose legality is still under judicial scrutiny.

After hearing both sides, Justice Lewis-Allagoa declined FCCPC’s application to discharge the injunction and instead ruled that the substantive suit and FCCPC’s preliminary objection would be heard together.
The court subsequently adjourned proceedings to May 15, 2026, while affirming that the interim injunction remains fully in force.

The ruling preserves the legal shield protecting mobile value-added service providers offering airtime lending, data advance and related digital consumer services, pending final judicial determination.

WASPAN has argued that while consumer protection remains important, certain provisions of the FCCPC regulations allegedly exceed the commission’s statutory powers, conflict with the Nigerian Communications Commission’s sectoral mandate, and risk creating unlawful compliance burdens for licensed telecom-based service providers.

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