Skip to content
Advertisement
News

ARCON probes 9mobile over alleged N1bn advertising debt

Nigeria’s top advertising regulator has launched a probe into 9mobile over an alleged unpaid advertising debt amounting to N1 billion.

The Advertising Regulatory Council of Nigeria confirmed the development on Friday, following two formal petitions submitted by stakeholders in the advertising industry.

According to ARCON, the complaints were filed against Emerging Markets Telecommunications Services Limited, operating under the brand name 9mobile, by members of the Advertisers Association of Nigeria.

The allegations point to an ongoing debt owed to several advertising agencies for previous services rendered.

Advertisement

In a statement signed by its Director-General, Olalekan Fadolapo, ARCON expressed concern that despite the unresolved debt, 9mobile continues to engage new advertising agencies.

“It was also alleged that while 9mobile refused to pay or resolve its indebtedness to the agencies, it has gone ahead to brief other agencies to continue its advertising and advertisement business with impunity. The agencies owed are left in limbo,” ARCON stated.

The regulatory body said it intends to scrutinize the process through which the telecom firm transferred its advertising account to fresh agencies, with a focus on whether proper disengagement procedures were followed and if any ethical violations occurred.

ARCON also highlighted that unpaid advertising bills often affect not just the agencies but also media outlets and third-party vendors, leading to severe cash flow challenges across the value chain.

Advertisement

It described the pattern as a form of “economic sabotage,” adding that it would work with anti-corruption agencies and other government institutions to recover the outstanding debt and hold those responsible accountable.

In an earlier directive, ARCON reminded advertisers that the industry’s payment cycle remains capped at 45 days and warned it would not hesitate to take “all necessary actions” to ensure compliance, protect creative rights, and stamp out exploitative behavior.

The investigation comes on the heels of a major corporate shift at 9mobile. In July 2024, the company announced its acquisition by LH Telecommunication Ltd., as part of a broader restructuring package supported by the African Export-Import Bank.

The transaction saw LH Telecommunication secure a controlling 95.5 percent stake in 9mobile through a capital injection, ushering in a new ownership era for the telecom operator.

Advertisement

Share

Top News