The Federal Competition and Consumer Protection Commission has said it is considering the appropriate sanction for an Abuja-based Chinese supermarket, which came under the spotlight last week for discriminating against Nigerians.
The acting Executive Vice Chairman of the FCCPC, Adamu Abdullahi, said the sanction which could either be a fine of N10m or 10 per cent of the supermarket’s last year’s turnover.
Abdullahi, who revealed this while featuring on Channels TV on Sunday, said the FCCPC’s investigation has confirmed the discrimination allegations against against the Chinese supermarket owned by Liu Bei.
He said the FCCPC team that visited the supermarket saw that items in the supermarket were labelled in Yuan, the Chinese currency, and that payment is only accepted in Yuan.
Last Sunday, Nigerians expressed their displeasure against the policy of the supermarket restricting entry solely to Chinese nationals, excluding Nigerians from patronising the establishment.
Following a widespread outcry, the FCCPC sealed the supermarket and invited the owner for questioning.
The supermarket was, however, reopened after Bei honoured the commission’s invitation.
Speaking on the FCCPC’s findings, Abdullahi said, “Yes she came to the commission in time and we went to the supermarket with her. She opened it and the discoveries were just enormous. The Chinese embassy and Chamber of Commerce were there represented. We discovered that all the products were labelled in Yen and that is the only currency they accept. That is against the law in Nigeria. We don’t sell products in foreign currency. Everything sold in Nigeria should be in its currency.
“And then the issue of discrimination that they only allow Chinese into the supermarket has been confirmed and we have now instructed that she must put up a notice in front of that shop that says everybody can go into the supermarket and shop.
“Also, the issue of Yen and the display of prices: We are discussing with her to put things right.
“At the same time, we are also discussing sanctions because a wrong has been done and bad behaviours lead to consequences. So, we would look at our law and find out what those consequences are and apply them. There is a fine of N10m and then 10 per cent of last year’s turnover for the company but we are still looking at the issues.”
Abduallhi also gave an update on enforcement compliance at the 4u and Sahad stores. He disclosed that the companies involved had realised their mistakes and had ensured 95 per cent compliance with the directives given.
Speaking further, the FCCPC boss said the management of Multichoice had submitted a four-page letter to the commission, explaining reasons for the recent hike in the price of its products, beginning from
He said though the company remains a dominant provider of cable television in the country, the commission would not hesitate to wield its stick if the reasons are not justifiable.
He said, “Also yesterday, we got a four-page letter from Multichoice, telling us the reasons for the price increase. What we need to do is bring in the Nigerian Communications Commission, the sector regulatory agency, and even the National Broadcasting Commission. We will look at the variables that caused the rise, At a glance, I saw things like the cost of electricity and, the cost of dollars for spare parts. We would go through these items individually and find out how they have affected their operations.
“At the same time, they are not supposed to do so because you are the only provider of the services in the market and abuse your dominant position in the market. And if by chance we confirm that it is what they are doing, we would go by the law and do what we are supposed to do.”
MultiChoice, a major satellite television service in Sub-Saharan Africa based in South Africa, recently announced fresh increases in prices on the DSTV and GOtv packages, saying the increase was necessitated by the rise in the cost of business operations.
According to the company, the increment would take effect on May 1, 2024.
The Premium package on DSTV which used to cost N29,500, would now go for N37,000, while the Compact Plus which currently goes for N19,800, has been increased to N25,000.
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