Nigeria

Consumer and Data Protection Laws- Meta Hit with $220 Million Fine by Nigeria

On Friday, Nigeria’s Federal Competition and Consumer Protection Commission fined Meta Platforms $220 million for breaching data privacy regulations.

According to a statement from the FCCPC, which was acquired by The PUNCH, Meta’s data-sharing practices on Facebook and WhatsApp violated Nigerian consumer and data protection laws.

The commission, in a statement authored by acting Executive Chairman Adamu Abdullahi, accused Meta of denying Nigerian users control over their data, sharing data without permission, and misusing its dominant market position.

It said, “The Final order also imposes a monetary penalty of Two Hundred and Twenty Million U.S. Dollars only ($220,000,000.00) (at prevailing exchange rate where applicable) which penalty is in accordance with the FCCPA 2018, and the Federal Competition and Consumer Protection (Administrative Penalties) Regulations 2020.”

The FCCPC revealed that it began its inquiry in May 2021, following indications that Meta, via its platforms, had violated the Federal Competition and Consumer Protection Act 2018 and the Nigeria Data Protection Regulation 2019. These regulations were in force before the Nigeria Data Protection Act 2023 came into effect.

The competition watchdog observed that Meta complied with requests for documents and summons by supplying certain information.

It stated, “Meta representatives and their retained legal counsel have consistently engaged with and met investigators and analysts from the commission and the NDPC, including as recently as April 4, 2024.”

The FCCPC revealed that its probe found evidence of Meta using abusive and intrusive methods on data users in Nigeria. This involved gathering personal information without permission and applying discriminatory practices against Nigerians, among other concerns.

It observed that Meta had the chance to present its defense during the investigation before the final decision was made. The decision pertains to violations, especially concerning:

FCCPC stated, “Denying Nigerian data subjects the right to self-determine; unauthorised transfer and sharing of Nigerian data-subjects personal data, including cross-border storage in violation of then, and now prevailing law; discrimination and disparate treatment; abuse of Dominance; and tying and bundling.

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“The Final Order of the Commission mandates steps and actions Meta Parties must take to comply with prevailing law and cease the exploitation of Nigerian consumers and their market abuse, as well as desist from future similar or other conduct/practices that do not meet nationally applicable standards and undermine the rights of consumers.”

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