• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Business News

Federal High Court declares it is unlawful for regulatory agencies to impose fines

Nairametrics by Nairametrics
May 16, 2017
in Business News
Two Directors Of A Scheme Similar To MMM Have Been Arraigned By EFCC
Share on FacebookShare on TwitterShare on Linkedin

We received this press release on a ruling revealing that a Federal High Court has declared unlawful, the imposition of fines by regulatory agencies in Nigeria. The landmark ruling was made by the Federal High Court sitting in Uyo.

Here are key details of the judgement;

  • The Judgement delivered by Honourable Justice Ojukwu held that the imposition of fines by Regulatory Agencies was unlawful.
  • The ruling was based on Motion filed by Mobil Producing Nigeria Unlimited in Suit FHC/UY/CS/1623/2016 – National Oil Spill Detection & Response Agency (NOSDRA) vs. Mobil Producing Nigeria Unlimited.
  • NOSDRA fined Mobil Producing Nigeria Unlimited (MPN) N10 million as penalty for the alleged breach of the NOSDRA Act and its Regulations.
  • The court basically ruled that NOSDRA acted outside its powers by imposing fines on Mobil without first approaching the Courts. The Court it said held the “judicial or quasi judicial power” to impose fines, which a regulatory body cannot exercise without recourse to Court.
  • Being a Federal Court ruling, its implication could be widespread and could significantly affect the powers of the states to rely on fines to increase their internally generated revenue.
  • Cases like these typically proceed to the Supreme Court, which could mean that the ruling might not be adhered to by regulatory agencies until the supreme court makes a final decision.

Here is the press release sent to Nairametrics.

RelatedStories

Zabazaba oil field

Bullish momentum in Nigeria’s oil and gas Sector: Can the rally be sustained? 

October 5, 2024
Nigerian Stock Market sees red from start to finish, suffers N156 billion loss at last trading day of the week

Industrial goods sector suffers 13% drop in August, While Oil and Gas boosts market 

September 2, 2024

ONLY COURTS OF LAW (NOT REGULATORY AGENCIES) CAN LAWFULLY IMPOSE FINES: COURT TELLS NOSDRA

In what industry analysts referred to as a landmark decision in the oil and gas sector, the Honourable Justice Ojukwu of the Federal High Court, Uyo Division, on Tuesday, May 16, 2017 held that the imposition of fines by Regulatory Agencies was unlawful. The Court delivered this Ruling on a Motion filed by Mobil Producing Nigeria Unlimited in Suit FHC/UY/CS/1623/2016 – National Oil Spill Detection & Response Agency (NOSDRA) vs. Mobil Producing Nigeria Unlimited.

NOSDRA had instituted a suit against Mobil Producing Nigeria Unlimited (MPN) claiming, N10 million as penalty for the alleged breach of the NOSDRA Act and its Regulations. Mobil, through its Counsel, Prof. Fabian Ajogwu SAN, filed a Motion asking the Court to strike out the suit on the ground that NOSDRA lacked the inherent powers to impose fines. In upholding the arguments for Mobil as canvassed by Mr Ituah Imhanze of Kenna Partners, the Federal High Court held that NOSDRA acted outside its powers by imposing fines on Mobil without first approaching the Courts. The Court further held that the power to impose fines is a judicial or quasi-judicial power, which a regulatory body cannot exercise without recourse to Court. NOSDRA was represented by Mr. Charles Ateboh. The Court frowned against the absence of a platform for aggrieved persons to object to Fines imposed by NOSDRA under its Act stating that this oversight does not accord with the rules of natural justice and fairness.

By implication, the Federal High Court has essentially struck down the provisions of section 6(3) of the NOSDRA Act on imposition of fines, for violating the right to fair hearing which is guaranteed under the 1999 Constitution.

Tags: OIl and Gas News
Nairametrics

Nairametrics

Nairametrics is Nigeria's top business news and financial analysis website. We focus on providing resources that help small businesses and retail investors make better investing decisions. Nairametrics is updated daily by a team of professionals. Post updated as "Nairametrics" are published by our Editorial Board.

Related Posts

Zabazaba oil field
Blurb

Bullish momentum in Nigeria’s oil and gas Sector: Can the rally be sustained? 

October 5, 2024
Nigerian Stock Market sees red from start to finish, suffers N156 billion loss at last trading day of the week
Equities

Industrial goods sector suffers 13% drop in August, While Oil and Gas boosts market 

September 2, 2024
President Bola Ahmed Tinubu
Energy

President Tinubu to commission 3 main gas infrastructure projects by NNPC, others

May 3, 2024
NUPRC, Shell
Energy

FG offers to expedite approval of Shell, others exit from Nigeria if they pay for oil spill cleanup

May 3, 2024
Why young Nigerians must consider investing in local and foreign stock markets
Exclusives

Nigerian Stocks you can invest in, if you have N2 million in January 2024 

January 8, 2024
Developing countries may likely bear the brunt of OPEC’s oil production cuts – IEA
Energy

Oil and gas demand will peak before 2030 – McKinsey  

October 24, 2023
Next Post
NASS Passes 2017 Budget: Key highlights & Comparison with draft

Ten things we learnt from the 2017 National Assembly Budget by @BudgIT

Comments 1

  1. anodebenze says:
    July 20, 2017 at 1:30 pm

    why did mobil go to court to enforces their right against the state.You cannot challenge the state on 3 ground unless on(1)moraliry (2) enforcing the rule of the law.et.c now when a state regulationg authority imposes find when a private or public company.it is a fom of a regulating authority stamping their authority,and also a form using a lesser sentence on private or public company,in the absences of using a sledgehammer in killing an insect..
    now an oil spillage had happened,and this community have been devasted by this oil spillage,and thie judge is saying mobil does not have a fair hearing.what about those thousands of people in those community devasted by this criminal activites of mobil,what about a fair hearing to thoses community,what about a criminal prosection process against mobil ?What is this ? is this not arrognance and madness in Nigeria.if this happen in my village in anambra state,i occupied all this oil site,and go to the home of the judge and camp outside his residential home,to feels our pain and sorrow.i will make their life uncomfortable as they made mine.
    but nothing is new in Nigeria,we have a president working abroad for foreigner,so is this regulating authority,abdicating their responsibility toward their citizens

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank








DUNS

Recent News

  • Firstbank partners UNGC to drive sustainable finance and unlock capital for development
  • Tinubu tops online with 4.5 million followers, but most Ministers lack visibility – Report 
  • How Nigerian billionaires fared under Buhari’s 8-year rule 

Follow us on social media:

Recent News

Buy, Sell or Hold – FirstHoldco?

Firstbank partners UNGC to drive sustainable finance and unlock capital for development

July 17, 2025
Under Tinubu, a blueprint for Nigeria’s consumer credit economy is quietly unfolding 

Tinubu tops online with 4.5 million followers, but most Ministers lack visibility – Report 

July 17, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics