Lawyers criticizes N10M fine in digital economy bill

A team of lawyers from Olisa Agbakoba Legal (OAL) has raised concerns over the N10 million fine for violations in Nigeria’s proposed National Digital Economy and E-governance Bill, currently under review by the National Assembly.

The bill aims to provide a comprehensive legal framework for the country’s digital economy, covering key areas such as electronic transactions, data protection, cybersecurity, and digital infrastructure. Among its provisions, a N10 million fine is specified for anyone who contravenes the law.

However, in their review, OAL lawyers criticized the penalty, arguing that it is excessive and misaligned with the salaries of public service workers, making it difficult for the government to enforce the fine. “The fine is not commensurate with potential breaches and would be nearly impossible to recover from public servants or institutions,” they said.

The legal team proposed alternative penalties, such as demotion, termination of employment, or denial of promotion, which they believe would be more effective deterrents. They also highlighted the potential inefficiency of holding the body corporate accountable, as the fine would ultimately come from government revenue, diminishing its impact.

Part 13 of the bill, which grants the National Information Technology Development Agency (NITDA) significant regulatory powers over digital economy matters, was also flagged by the lawyers. They warned that this could lead to conflicts between NITDA and other government agencies with overlapping jurisdictions.

Despite the concerns, the lawyers acknowledged the bill’s potential to drive Nigeria’s digital transformation. They emphasized the importance of addressing challenges such as infrastructure development, digital literacy, and cybersecurity for the bill to be effective.

Minister of Communications, Innovation, and Digital Economy, Dr. Bosun Tijani, supported the bill during a recent media engagement in Abuja, stating that it would provide a legal framework for the digital economy and boost Nigeria’s global standing in the digital space. He added that once passed, the bill would be implemented across all six geopolitical zones in the country.