A Federal High Court in Abuja has ruled that commercial banks in Nigeria are subject to the regulatory authority of the Federal Competition and Consumer Protection Commission, affirming the commission’s powers to investigate consumer complaints against financial institutions.
Justice James Omotosho delivered the judgment on Wednesday, dismissing a suit filed by United Bank for Africa Plc challenging the FCCPC’s jurisdiction over its operations. The court also imposed a N2m fine on the bank, describing the suit as frivolous.
In the case marked FHC/ABJ/CS/1972/2025, UBA had argued that, as a bank licensed by the Central Bank of Nigeria, it was not subject to oversight by the FCCPC, citing provisions of Section 251(1)(d) of the 1999 Constitution and Section 65(1)(a) of the Banks and Other Financial Institutions Act, 2020.
However, Justice Omotosho rejected the argument, holding that the Federal Competition and Consumer Protection Act grants the FCCPC overriding authority in matters relating to consumer protection and competition.
The judge specifically referenced Sections 1, 2, 17(e), and 104 of the FCCPA, noting that the provisions empower the commission to regulate consumer rights across sectors, including banking, and take precedence over conflicting laws.
He stated that no other agency is statutorily mandated to handle consumer complaints, stressing that neither the BOFIA nor the CBN Act confers such powers on the apex bank.
The ruling is expected to reinforce the FCCPC’s role in addressing customer grievances in the financial sector and widen its oversight beyond traditional consumer markets.
Meanwhile, the FCCPC has strengthened its collaboration with the Lagos State Consumer Protection Agency to enhance consumer rights enforcement.
The partnership was formalised through a Memorandum of Understanding signed in Abuja between the Executive Vice Chairman of the FCCPC and the General Manager of LASCOPA, Mr Afolabi Solebo.
Speaking at the event, the FCCPC boss described the agreement as a significant step towards improving consumer experiences through coordinated regulatory action.
He noted that consumer protection now spans multiple sectors, including transportation, housing, healthcare, digital services, financial transactions, and e-commerce, requiring stronger institutional synergy.
Solebo, in his remarks, said the partnership would help curb consumer exploitation in Lagos and boost enforcement mechanisms across the state.
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