MTN share slumped during trading hours on Friday amid sexual harassment and fraud claims in the Nigerian subsidiary, MTN Nigeria, which happens to be its largest market in Africa.
Some female workers of MTN Nigeria, under the umbrella name, ‘The Anonymous Whistle Blowers’, had written to the Group to report several misconduct against the subsidiary’s head of Sales and Distribution Officer, Adekunle Adebiyi.
The female employees alleged that Adebiyi had been soliciting sex for job security in MTN Nigeria, while threatening those that turned down his advances with sack letter.
Details of his misconduct were revealed in a series of emails and documents sent to MTN headquarters in South Africa between April 2021 and February 2022. The story was first reported by Sahara Reporters.
Adebiyi, who was labeled as a sex predator, was reportedly targeting young women working at the firm in Nigeria, and his atrocities were said to have been allegedly covered by the Chief Executive Officer, Karl Toriola.
Aside from the sex for job scandal, Adebiyi was also linked to fraudulent activities, allegedly using his position to inflate contracts, while creating false sales and receiving bribes.
He was said not to be alone in these illegal transactions, as another whistle-blower group, ‘Anonymous Concerned Staff of Sales and Distribution Division’ alleged that the General Manager, Northern Regional Operations, Amina Dambatta, was also involved.
Some senior officers in MTN Nigeria are also said to have colluded in different corrupt strategies, while also violating the rights of workers that complain of the anomalies, as reported.
Another allegation made against Adebiyi includes favouring family and friends for selected positions in MTN Nigeria despite lacking requirements for the post.
While MTN is yet to publicly react to the allegations made against its senior officials, the telecommunications company seems to be taking action quietly, in response to the allegations.
On Friday, several media reports stated that Adebiyi had tendered his resignation to the company following the sexual and corruption scandal resulting from his actions which came to light through the emails.
Amid the scandal taking centre stage in the media, MTN Group share slumped by 4.68%, as of the time of filing this report, with its price down to 19,619.00 South African Cent (ZAC), although, its Nigerian subsidiary stock price is up +0.44%, trading at N204.90kobo per share.