By Ayomide Otitoju
The Advertising Regulatory Council of Nigeria (ARCON) has announced plans to launch a full-scale investigation into an alleged ₦1 billion advertising debt owed by 9mobile, signaling what could become one of the most high-profile regulatory showdowns in Nigeria’s advertising industry.
In a statement signed by ARCON’s Director-General, Dr. Olalekan Fadolapo, the council confirmed it had received two formal petitions against Emerging Markets Telecommunications Services Limited, trading as 9mobile, for allegedly defaulting on advertising payments owed to agencies it had since disengaged. The telecom company is accused of reassigning its advertising account to new agencies “with impunity,” bypassing payment obligations to previous service providers.
Describing the situation as one of “economic sabotage”, ARCON emphasized the broader impact of such debts on the advertising value chain, especially media houses and third-party vendors who depend on timely payments to sustain operations.
“Advertising debts are beyond agencies,” the statement read. “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 has vowed to scrutinize the movement of 9mobile’s advertising account, noting that the transition may have violated established disengagement procedures and ethical standards. The regulator cited non-compliance with the 45-day payment threshold stipulated under Nigerian advertising laws and the Advertising Industry Standard of Practice (AISOP).
Dr. Fadolapo confirmed that ARCON would collaborate with anti-graft and government agencies to conduct a thorough investigation and ensure accountability, underscoring the Council’s firm stance on ethical business conduct and payment compliance.
“ARCON will take all necessary actions to eradicate unfair advantage, unethical competition and unequitable policies between relevant stakeholders in the Nigerian advertising industry,” the statement added.
The controversy is further complicated by 9mobile’s membership in the Advertisers Association of Nigeria (ADVAN), which has had a history of disputes with ARCON over the implementation of AISOP and related regulatory issues.
As the case unfolds, the advertising industry is watching closely. The outcome could set a critical precedent for financial responsibility and ethical conduct among advertisers operating in Nigeria.
