A landmark judgment by the Federal High Court in Abuja has affirmed the authority of the Federal Competition and Consumer Protection Commission (FCCPC) to investigate consumer complaints against banks, dismissing a suit filed by United Bank for Africa in its entirety.
Delivering judgment in suit number FHC/ABJ/CS/1972/2025, Justice James Omotosho held that the FCCPC is statutorily empowered to handle consumer protection issues involving financial institutions, rejecting arguments by UBA that such oversight falls outside the Commission’s jurisdiction.
The bank had approached the court seeking clarity on whether, under Section 251(1)(d) of the 1999 Constitution and Section 65(1)(a) of the Banks and Other Financial Institutions Act (BOFIA) 2020, the FCCPC could exercise authority over a commercial bank licensed by the Central Bank of Nigeria. However, the court ruled decisively in favour of the Commission, stating that its mandate extends to the banking sector in matters of competition and consumer protection.
In a strongly worded judgment, Justice Omotosho emphasised that no other agency in Nigeria is specifically charged with the responsibility of receiving and investigating consumer complaints. “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,” the judge stated, adding that “the FCCPC (Defendant) is therefore the proper agency to investigate such consumer complaints.”
The court further held 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 (FCCPA) 2018, including Sections 1, 2, 17(e), and 104, which establish the Commission’s objectives and overriding authority in consumer protection matters.
Consequently, the court imposed a fine of N2 million on UBA for what it described as “bringing a frivolous and unmeritorious case against the defendant.”
Reacting to the ruling, FCCPC Executive Vice Chairman and Chief Executive Officer, Tunji Bello, described the judgment as a major victory for bank customers. “This is a significant milestone in our advocacy for bank customers who have for long endured unfair treatment,” he said.
Bello added that the judgment provides clarity on the complementary roles of sector regulators and consumer protection agencies, reinforcing confidence that consumers across all sectors, including financial services, have access to effective complaint resolution mechanisms.
He noted that the decision also sends a strong signal to businesses, stressing that regulatory accountability and consumer trust are essential for a healthy market environment. According to him, the FCCPC will continue to engage financial institutions professionally and in line with due process, while encouraging them to strengthen internal mechanisms for resolving customer complaints.
