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The Federal Government has vowed to punish Point on Sale, PoS operators who provide engage in illegal acts.
Federal Competition and Consumer Protection Commission made this known in a cease-and-desist order to Point of Sale operators on Monday.
Mobile Money and Bank Agents Association of Nigeria, representing PoS operators, had recently implemented new pricing for transactions.
As a response to this development, the Commission has issued a cease-and-desist order to prevent any further violations of the law.
According to the order, PoS operators found in breach will face penalties, including fines of up to N10 million for corporate entities and fines of up to N1 million, along with possible imprisonment for individuals.
The Commission clarified that while it respects the prerogative of PoS service providers to set prices within reasonable boundaries, such pricing must not be manifestly unjust or exploitative, as specified in Section 127 of the Federal Competition and Consumer Protection Act 2018.
The Commission believes that the PoS market is adequately competitive and does not require any pricing interventions.
In an effort to uphold the law and maintain fair competition, the Commission has officially served the Order & Notice (ONC) to the Association of Mobile Money and Bank Agents in Nigeria (AMMBAN), addressing its executives, members, and non-member PoS operators.
The ONC strictly instructs them to refrain from engaging in any conduct that violates the law.
Although the Commission prefers to work collaboratively with businesses, it has now decided to take a more assertive approach by enforcing the law and prosecuting violators and their affiliates.
In extreme cases, the Commission may also restrict merchant services and privileges to PoS operators or AMMBAN members who persist in illegal activities, although it would rather avoid disrupting small enterprises' operations.
Overall, the Federal Competition and Consumer Protection Commission is determined to uphold fair business practices and maintain a competitive and efficient market for the benefit of consumers and businesses alike.
