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MTN AGAIN: How The Company’s Greed Have Led Banks To Cut It Off From USSD Platform. – For Arbitrarily Reducing Commission!

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4 years ago

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The issue with MTN Airtime distribution and vending through the Banks is completely different from the Telco USSD services billing.

Telco USSD services billing is an industry-wide issue, both for the Telecoms and Banking industries, and it is about the determination of the best way to bill joint customers of the MNOs and Banks for the USSD service provided by the MNOs when it is used to Access Banking Services.

 

However, for this MTN Airtime sale through the Banks, on March 30 MTN acting unilaterally on its own, without consultation or negotiation with the Banks, who are part of its Airtime distribution chain, reduced the commission paid to the Banks for helping MTN sell its Airtime from 4% to 2.5%. This puts the Banks in a precarious and economic loss position, as the cost of fraud and airtime vending infrastructure maintenance by the banks outweigh the new commission rate imposed by MTN.  One will wonder why it is only MTN doing this and no other companies in the Telco industry.

 

To mitigate this risk of economic loss, all Banks, as an industry, requested MTN to maintain the status quo but all effort by the Banks to hold a discussion with MTN on this issue fell on deaf ears. To protect their businesses from the adverse economic impact, all Banks in the Financial industry decided to suspend the vending and distribution of MTN Airtime through their channels until such a time that a favorable rate is agreed with MTN.

 

Last night, some commercial banks have yanked off MTN From their USSD, airtime purchase, and other online services from the MTN network due to the disagreement between the financial institutions and the telecommunication company on the amount to be charged.

The implication is that you cannot make a purchase from any bank.

It was however reported by a national daily, that the bank Chief Executive Officers had at a recent meeting agreed to shut down the purchase of MTN services across all their channels beginning from 11 pm last night until further notice.

An attempt by SOCIETY REPORTERS to purchase airtime from GTBank last night showed that the commercial bank had removed MTN among the network its customers could purchase airtime from.

However, another Bank was still offering the service as of midnight.

A source close to the banks explained that the disagreement arose after MTN recently reduced the discount offered to banks on airtime sales

A top bank official, who pleaded to remain anonymous, said other banks are expected to comply with the decision of their CEOs from today.

He disclosed that over 60 percent of airtime vending by telcos presently was done electronically through the banks.

The CBN and the NCC, had in a recent communique issued at the end of a meeting to resolve the disagreement on USSD fee between the banks and telcos agree that with effect from March 16, 2021, USSD services for financial transactions conducted at banks and all CBN- licensed institutions would be a flat rate of N6.98k per transaction.

This replaced the previous per session billing structure, ensuring a much cheaper average cost for customers to ensure financial inclusion.

“To promote transparency, the new USSD charges will be collected on behalf of MNOs directly from customers’ bank accounts. “Banks shall not impose additional charges on customers for the use of USSD channel. “A settlement plan for outstanding payments incurred for USSD services previously rendered by the MNOs is being worked out by all parties in a bid to ensure that the matter is fully resolved,” the communiqué explained.

In a bid to respond to the entire story, MTN has sent out messages to its subscribers confirming that its banking services are not available. read the message below.

Dear Customer, our bank recharge channels are currently unavailable. Kindly recharge using physical cards. We apologise for the inconvenience. Thank you.

BY: SUNDAY ADEBAYO.

 

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Former Governor Ifeanyi Okowa, Spends Second Night In EFCC’s Cell Over N1.3 Trillion Alleged Fraud

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10 hours ago

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November 7, 2024

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Immediate past governor of Delta State, Ifeanyi Okowa, who was arrested and detained by the Economic and Financial Crimes Commission (EFCC) has spent second night in the custody of the anti-graft commission.

 

Okowa is currently being investigated and detained over the alleged diversion of N1.3 trillion.

 

The N1.3 trillion reportedly represents the 13% derivation fund from the federation account between 2015 and 2023.

 

According to sources within the commission, Okowa was invited to the EFCC office in Port Harcourt, Rivers State, where he’s subsequently detained by officials.

 

One of the sources stated, “Okowa was at our Port Harcourt office following an invitation from investigators probing the allegations against him. He was then arrested. The commission is investigating him regarding the N1.3 trillion 13% derivation fund from the federation account between 2015 and 2023.

 

“He is also accused of failing to account for the funds, as well as another N40 billion he allegedly claimed was used to acquire shares in UTM Floating Liquefied Natural Gas. He reportedly bought shares worth N40 billion in one of the country’s major banks, representing an 8% equity stake, to support the offshore LNG project. The funds are alleged to have been misappropriated for other purposes.

Investigators are also examining the alleged diversion of funds by the former governor to acquire estates in Abuja and Asaba, Delta State. He is currently being held at the EFCC facility in Port Harcourt.

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Lagos Government Shuts Down Redeemed Church, Celestial Church, Clubs, Event Centres Over Noise Pollution

Published

23 hours ago

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November 6, 2024

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The Lagos State government has shut down a branch of Pastor E. A. Adeboye’s Redeemed Christian Church of God, a Celestial church, nightclubs and event centres over noise pollution.

The Commissioner for Environment and Water Resources, Tokunbo Wahab, who made this known on Wednesday, said the churches, clubs and event centres were sealed on Tuesday by the Lagos State Environmental Protection Agency (LASEPA) in the Ogudu, Gbagada, Iyana Ejigbo, Isolo, Ajao Estate, Oshodi, Ilasamaja, and Okota areas of the state.

The sealed establishments include: Redeemed Christian Church of God, Celestial Church of God, OMA Nightclub and Lounge, Lounge & Lodging, Bridge Spot Bar, Okiki Event Center and Hall, Emota Paradise Hotel (Phase 2), CF Hotel & Suites, House 27 Hotel & Suites, Echo Spring Hotel, and Smile T Continental Hotel.

The commissioner in a post on X said, “In a bid to address noise pollution and other environmental violations, the Lagos State Environmental Protection Agency (LASEPA) took action yesterday, closing down several establishments across different parts of the state.

“This enforcement drive, focusing on areas like Ogudu, Gbagada, Iyana Ejigbo, Isolo, Ajao Estate, Oshodi, Ilasamaja, and Okota, is part of LASEPA’s continuous efforts to uphold environmental standards and safeguard public health.

“The affected establishments include Honourable Lounge & Lodging, Redeemed Christian Church of God, Celestial Church of God, OMA Nightclub and Lounge, Bridge Spot Bar, Okiki Event Center and Hall, Emota Paradise Hotel (Phase 2), CF Hotel & Suites, House 27 Hotel & Suites, Echo Spring Hotel, and Smile T Continental Hotel.”

 

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Gen. Taoreed Lagbaja: Tinubu directs flags be flown at half-mast

Published

1 day ago

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November 6, 2024

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President Bola Tinubu has directed that Nigeria’s national flags be flown at half mast for seven days across the country to mourn the passing of the late Chief of Army Staff, Lt. Gen. Taoreed Lagbaja.

The late Army chief, who was appointed by Tinubu on 19 June 2023, was said to have passed away on Tuesday night after a prolonged illness.

The Secretary to the Government of the Federation, George Akume, in a statement on Wednesday by his office Director of Information & Public Relations, Segun Imohiosen, said the president expressed regret over Lagbaja’s death.

Akume said, “President Bola Tinubu has expressed regret following the death of the Chief of Army Staff, Lieutenant General Taoreed Abiodun Lagbaja, after a brief illness at the age of 56.

“The President has directed that national flags be flown at half mast throughout the country for seven days in honour of the departed Army chief.

“He profoundly appreciates the services of the departed to the nation and wishes the family the fortitude to bear the great loss.”

Meanwhile, the Ministers of Defence, Mohammed Badaru and Bello Matawalle, have commiserated with the president, the military, and Lagbaja’s family over his death.

In a statement by the Ministry’s spokesperson, Henshaw Ogubike, the ministers described Lagbaja’s death as a great loss to his family, the Army, and the nation at large.

“The passing on to eternal glory shocked us at the Ministry of Defence, as our working relationship with him was commendable; he exhibited the spirit of camaraderie and cooperation with us in the discharge of our mandate.

“The late Chief of Army Staff contributed significantly to internal security operations across Nigeria and also exhibited a high level of professionalism.

“He will be greatly missed by the family, the military, and the nation, as he served the nation with commitment and dedication,” the statement added.

 

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