MTN’s Chief Executive Sifiso Dabengwa has resigned following the Nigerian Communications Commission’s decision to slap the mobile company with a $5.2 billion fine for failing to cut-off mobile phone users who were using unregistered Sim cards in the country.
Dabengwa tendered his resignation with immediate effect, saying that it was “in the interest of the company and its shareholders”.
The $5.2 billion fine amounts to double the giant company’s profit last year.
The firm was given until November 16th to pay the fine, though it is in talks to reduce the fine.
Dabengwa has been MTN’s Chief Executive since 2011.
Non-executive chairman Phuthuma Nhleko has been appointed executive chairman for a maximum of six months while the company looks for a successor.
Nigeria is MTN’s biggest market, with 28.5 million subscribers, followed by Iran and South Africa.