Questions about VAT charges on transactions processed through the Moniepoint platform took centre stage in Lagos on Wednesday, March 11 as a customer and his legal representatives addressed journalists over a dispute that has now moved into the courts.
At a press conference held at Excellence Hotel in Ogba, Lagos, Adebayo Ali Oluwafemi, who identified himself as a customer of the platform, recounted the events that followed after questions began circulating on social media about VAT deductions applied to certain transactions on the platform.
According to Oluwafemi, the issue began earlier this year when he received a communication from Moniepoint referencing VAT updates related to certain financial charges. Shortly afterward, he said he came across a public statement from the Nigerian Revenue Service indicating that recent tax legislation had not introduced VAT on banking fees.
The apparent contradiction soon sparked conversations online about how the VAT charges were being applied.
“As a customer, I simply wanted to understand why VAT was being applied to those charges when the public statement from the tax authorities suggested otherwise,” he said while addressing the press.
What followed, he said, escalated beyond a routine customer complaint.
Oluwafemi told journalists that police officers arrived at his residence on February 18 and took him into custody.According to him, the officers arrived at his home and took him away without prior notice. He said he was initially taken to the Festac Police Division in Lagos and later transferred to the State Criminal Investigation Department (SCID) at Panti, where he remained for several days while seeking clarification on the complaint that had been filed against him. During questioning, he said he later learned that the complaint was linked to the discussions surrounding VAT charges on the Moniepoint platform.
During the press conference, Oluwafemi also disclosed that he is a sickle cell patient, raising concerns about the conditions under which he was detained. He said he was held for several days without immediate access to his lawyers while trying to understand the basis of the complaint against him.
“My intention was to ask a question as a customer,” he said. “I did not expect that raising that concern would lead to an arrest.”
Legal representatives speaking at the event confirmed that a case has now been filed before the High Court of the Federal Capital Territory in Abuja under the Fundamental Rights Enforcement Procedure Rules, seeking protection for the individuals involved.
The lawyers argued that the matter raises broader questions about consumer rights in Nigeria’s rapidly expanding digital finance sector.
“In an ecosystem where millions of Nigerians rely on digital platforms for everyday transactions, transparency around financial charges is critical,” one of the legal representatives said during the briefing.
He added that the legal action is intended to ensure that the issues raised are examined through the appropriate judicial process.
The press conference also touched on the wider implications of the dispute, particularly as fintech platforms continue to handle a growing share of everyday payments across the country.
Industry observers note that the rapid expansion of digital financial services has brought convenience to millions of Nigerians but has also increased scrutiny around transaction fees, platform policies and regulatory oversight.
For Oluwafemi, the issue remains straightforward: “I believe customers should be able to ask questions about charges affecting their money,” he said.
He added that the goal of the press conference was to bring attention to the issue and encourage clarity around the VAT charges that prompted the original question.
“We want transparency, and we want the relevant authorities to look into the concerns that have been raised.”
As the legal process unfolds, the case is likely to draw attention to the broader question of how financial platforms communicate fees to users and how customer disputes are handled in Nigeria’s fast-growing fintech ecosystem.
For now, the matter sits before the courts, but the conversation it has sparked about transparency, customer rights and accountability in digital finance is only beginning.
Eze Chidiebere Paul
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