Court voids ARCON’s N60bn fine against Facebook Nigeria

A Federal High Court in Lagos has struck down the N60 billion sanction the Advertising Regulatory Council of Nigeria (ARCON) imposed on Facebook Nigeria Operations Limited, ruling that the regulator lacked legal authority and violated the company’s right to a fair hearing.

In a judgment delivered on June 18, 2026, in Suit No. FHC/L/CS/2205/2024, Justice Yellim Bogoro declared ARCON’s Notice of Violation/Demand for Compliance dated October 21, 2024, unconstitutional, unlawful, null and void.

The court issued a perpetual injunction barring ARCON from enforcing the notice against Facebook Nigeria.

ARCON had accused Facebook Nigeria of running unapproved advertisements on Facebook and Instagram without clearance from the Advertising Standards Panel, as required under the ARCON Act and the Nigerian Code of Advertising.

The council ordered the company to halt the ads and pay N60 billion for what it termed repeated violations, or face prosecution.

Represented by Mofesomo Tayo-Oyetibo, SAN, Facebook Nigeria argued that ARCON cannot determine criminal liability or impose penalties through an administrative notice without a fair hearing.

The company also stated it does not own or operate Facebook or Instagram, both platforms are controlled by Meta Platforms Inc., a separate foreign entity.

ARCON, through its counsel, Akinlolu Kehinde, SAN, maintained that Facebook Nigeria represents Meta’s local operations and should be held responsible for ads shown to Nigerian users.

Justice Bogoro rejected ARCON’s position on several grounds including that no evidence that Facebook Nigeria owns, operates, or controls Facebook or Instagram, mere assertions of representation were insufficient to establish liability, ARCON violated Section 36 of the Constitution by imposing a substantial financial sanction without giving Facebook Nigeria a chance to respond, and that Section 57(4) of the ARCON Act requires a fair hearing before penalties.

The judge ruled that the N60 billion demand was, in substance, a fine and ultra vires ARCON’s statutory powers.