The Federal High Court Abuja has upheld the Federal Competition and Consumer Protection Commission’s (FCCPC) powers to inquire into consumer protection issues, such as complaints involving customers and banks.
Justice James Omotosho delivered the judgment on Wednesday in Suit No: FHC/ABJ/CS/1972/2025.
The judge was asked by the claimant to determine, among others, whether having regard to Section 65(1)\(a) of the Banks and Other Financial Institutions Act (BOFIA) 2020, the FCCPC can validly exercise jurisdiction over a commercial bank duly licensed by the Central Bank of Nigeria(CBN) and over any of its functions, acts, financial products, or financial services.
What the Judge said
- Passing his judgment, Justice Omotosho cited Section 104 of the FCCPC Act, which states that “Notwithstanding the provisions of any other law but subject to the provisions of the Constitution of the Federal Republic of Nigeria, in all matters relating to competition and consumer protection, the provisions of this Act shall override the provisions of any other law.”
He held that the above provision intends that the provisions of the FCCPC Act supersede any other Act regarding competition and Consumer protection.
- The Judge therefore held that the FCCPC “is vested with statutory powers to inquire into Consumer Protection issues involving customers and banks.”
With respect to receiving and investigating Consumer complaints, the judge stressed that there is no other agency in Nigeria saddled with this responsibility except the FCCPC.
- “No portion of the Banks and Other Financial Institutions Act give such powers to the Central Bank of Nigeria, nor does the Central Bank of Nigeria Act.
- “The FCCPC (Defendant) is therefore the proper agency to investigate such consumer complaints,” the judge held.
The Judge cited Section 17 of the FCCPC Act, which gives the Commission powers to carry out investigations and inquiries considered necessary or desirable in connection with competition and consumer protection matters falling under the purview of the FCCPC Act.
He held that the said section gives the Commission powers to demand documents in line with its enquiries.
Citing a previous 2021 judgment, Omotosho explained that the inquiry or investigation sought to be carried out by the FCCPC against a bank does not equate to judicial proceedings.
He held that based on Section 146 of the FCCPC Act, an aggrieved customer is at liberty to air his grievance either through the bank itself, an industry regulator, the FCCPC or through the courts.
He held, however, that it “would be an abnormality in law for an administrative body such as the FCCPC to impose sanctions” against a bank when it is not vested with judicial powers to do so.
- “The powers to impose sanctions are reserved for only the Court of law under section 6 of the 1999 Constitution,” the Judge said.
Consequently, Justice Omotosho concluded that the instant case against FCCPC is unsupported by law and dismissed the suit with N2 million cost.
Backstory
A commercial bank on September 19, 2025, via originating summons, sued the Commission, and asked the court to interpret sections of BOFIA while restraining the Commission’s moves to preside over a dispute arising between a commercial bank and its customers.
The financial institution informed the court that it had received a summons from the Commission over a customer complaint.
For the FCCPC’s legal team, it maintained that it has the statutory duty to receive consumer complaints and collaborate with other agencies in investigating the same.
What you should know
Under Section 148 of the FCCPC Act:
- A consumer shall file a complaint with the Commission in the prescribed manner and form, alleging that a party has acted in a manner inconsistent with the provisions of the Act.
- The Commission may initiate a complaint concerning any alleged violation on its own motion, through an industry sector regulator, or via an accredited consumer protection group.
- By the enactment of the FCCPC Act, the FCCPC, according to Justice Omotosho, is the foremost agency with the mandate to inquire into competition and consumer rights.
