The Federal High Court in Abuja has affirmed the jurisdiction of the Federal Competition and Consumer Protection Commission (FCCPC) concerning banking institutions, thereby dismissing a legal action brought forth by the United Bank for Africa.
The court has also imposed a fine of N2 million on the bank, characterising the case as frivolous.
The Commission in a statement revealed that in the ruling, Justice James Omotosho held that the Commission has the statutory mandate to investigate consumer complaints in the banking sector, reinforcing protections for customers nationwide.
“The FCCPC (Defendant) is therefore the proper agency to investigate such consumer complaints,” the judge ruled.
According to the statement, the case, marked FHC/ABJ/CS/1972/2025, was instituted by UBA to challenge the jurisdiction of the FCCPC, arguing that provisions of the Constitution and the Banks and Other Financial Institutions Act (BOFIA) 2020 limit the Commission’s authority over financial institutions regulated by the Central Bank of Nigeria.
However, the court rejected the argument, stressing that no provision in BOFIA or the CBN Act confers such consumer protection powers on the apex bank.
“No portion of the Banks and Other Financial Institutions Act gives such powers to the Central Bank of Nigeria, nor does the Central Bank of Nigeria Act,” Justice Omotosho stated.
He further declared that the FCCPC “is vested with statutory powers to inquire into Consumer Protection issues involving customers and banks,” citing provisions of the Federal Competition and Consumer Protection Act, 2018.
The court emphasised that in matters relating to competition and consumer protection, the FCCPC Act takes precedence over other laws, subject only to the Constitution.
Following the dismissal, the court fined UBA N2 million for “bringing a frivolous and unmeritorious case against the defendant.”
Reacting to the judgment, Executive Vice Chairman of the FCCPC, Tunji Bello, described the decision as a major win for consumers.
“It’s a significant milestone in our advocacy for bank customers who have long endured unfair treatment,” Bello said.
He noted that the ruling clarifies the complementary roles of sector regulators and consumer protection agencies, while strengthening access to redress for consumers.
According to him, “the decision reinforces confidence that consumers in every sector of the economy, including financial services, are entitled to accessible channels for complaint resolution and lawful redress.”
Bello added that the judgment also provides clarity for businesses, underscoring that accountability and consumer confidence are essential to a healthy market environment.
He assured that the Commission would continue to engage financial institutions in line with due process, while promoting effective internal complaint resolution mechanisms.
The ruling is widely seen as a defining moment for consumer rights enforcement in Nigeria’s financial sector, setting a precedent for stronger regulatory oversight and improved accountability among banks.