WASPA secures court order against FCCPC over lending rules

By Ezurike Ugochukwu 

Justice Ambrose Lewis-Allagoa issued the  order pending the determination of a substantive suit challenging the framework. This followed an ex-parte application filed by the Wireless Application Service Providers Association of Nigeria (WASPA Nigeria), which is challenging the legality and scope of the regulatory framework.

The suit, filed on April 14, 2026, seeks to halt the implementation of what the association describes as provisions that exceed the statutory powers of the FCCPC under the regulations, also known as the DEON Consumer Lending Regulations.

Granting Interim Relief

In his ruling, Justice Lewis-Allagoa held that the applicant had established sufficient urgency and legal basis to justify the grant of interim protection pending the hearing of the motion on notice for interlocutory injunction.

The court subsequently ordered the preservation of the status quo, restraining the FCCPC from enforcing or giving effect to the contested provisions of the regulations.

Specifically, the court barred the Commission from taking enforcement actions, issuing compliance directives, or imposing sanctions and penalties on members of WASPA Nigeria under the disputed framework.

WASPA Nigeria, represented by Senior Advocate of Nigeria, Kemi Pinheiro, argued that several provisions of the regulations impose obligations on its members operating within the telecommunications and digital services space.

The association contended that the FCCPC lacks the statutory authority to regulate technical and operational aspects of telecommunications services, which it maintains fall under the jurisdiction of the Nigerian Communications Commission (NCC).

It therefore urged the court to restrain the FCCPC from enforcing specific provisions of the regulations, including paragraphs 3, 7, 10, 12, 13, 14, 15, 16, 24, 27, 29 and 32.

Next Date in Court

After reviewing the supporting affidavit, the court granted the interim reliefs and adjourned the matter to April 27, 2026, for the hearing of the motion on notice.

Digital Lending Sector Implications

The ruling represents a temporary setback for the FCCPC, which recently introduced the regulations as part of efforts to strengthen oversight of Nigeria’s rapidly expanding digital lending and fintech ecosystem.

The framework was designed to address consumer protection concerns, data privacy issues, and unregulated lending practices in the sector.

However, the ongoing legal challenge now places the enforcement of key aspects of the regulations on hold, pending the court’s final determination.

Industry observers say the outcome of the case could have significant implications for regulatory authority and oversight within Nigeria’s digital and telecommunications landscape.