ARCON has launched a probe into 9mobile over an alleged ₦1bn advertising debt, labelling the telco’s actions as “economic sabotage.”
In what could become a landmark regulatory battle in Nigeria’s advertising sector, the Advertising Regulatory Council of Nigeria (ARCON) has announced a sweeping investigation into a staggering ₦1 billion advertising debt allegedly owed by 9mobile, one of the country’s top telecommunications companies and a notable member of the Advertisers Association of Nigeria (ADVAN).
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In a statement signed by ARCON’s Director-General, Dr. Olalekan Fadolapo, the Council revealed that two petitions had been filed against 9mobile’s parent company, Emerging Markets Telecommunications Services Limited, over what it described as a long-standing refusal to settle debts owed to disengaged advertising agencies.
The regulator warned that the telco’s alleged decision to move its business to new agencies “with impunity” may have violated industry ethics and legal protocols.
“Advertising debts are beyond agencies. They belong mostly to media houses and third-party vendors/suppliers who are significantly affected by the indebtedness with multiplier effects on their cash flows and operations,” ARCON stated.
The Council described the telco’s conduct as “economic sabotage,” citing severe ripple effects on media houses, suppliers, and the entire advertising value chain.
ARCON emphasised that it would investigate whether 9mobile bypassed proper disengagement protocols in its agency transitions.
Referencing the Advertising Industry Standard of Practice (AISOP) and Nigeria’s mandatory 45-day payment threshold, ARCON reaffirmed its commitment to enforce compliance and promote fairness in the advertising landscape.
“ARCON will take all necessary actions to eradicate unfair advantage, unethical competition and unequitable policies between relevant stakeholders,” the DG said.
The Council also signalled its intention to collaborate with anti-graft and governmental bodies to ensure the debt is recovered and offenders are held accountable. This bold stance underscores ARCON’s intensified resolve to clean up Nigeria’s advertising ecosystem and hold even the most powerful players to account.
That 9mobile is a member of ADVAN, a body that has publicly clashed with ARCON over AISOP and other regulatory frameworks, adds another layer of tension to the unfolding drama. As ARCON prepares to move in, industry watchers anticipate a precedent-setting decision that could reshape the future of advertising governance in Nigeria.
Also read: ARCON warns against unethical Ads on Meta platforms
For 9mobile and ADVAN, this may be the beginning of a regulatory reckoning. The industry’s credibility—and future—hangs in the balance.
Source: Read more at thisdaylive.com
Ojelabi, the publisher of Freelanews, is an award winning and professionally trained mass communicator, who writes ruthlessly about pop culture, religion, politics and entertainment.
