Skip to main content

MTN Uganda fined $662, 000 for sabotaging business

Uganda's Commercial court has ordered MTN Uganda to pay a sum of Shs 2.3bn (about $662,000) which is about N190 million in damages to EzeeMoney Limited for sabotaging its business. It all started when EzeeMoney, which runs an e-money business, obtained a contract from MTN for the provision of digital transmission [E1] and 30 fixed telephone lines to carry out its mobile money business.



After agreeing to the terms of the contract, EzeeMoney then contracted Yo! Uganda Limited (YUL) to implement the service after Uganda Communications Commission, the regulator, approved it on December 2012, to use the 7711 short code to enable its customers to subscribe for e-money services. However in 2013, MTN after doing a review of the contract, canceled it, saying EzeeMoney was a direct competitor to its mobile money business.

Through AF Mpanga and company advocates, EzeeMoney went to court, saying MTN’s action “restricted and distorted competition.” EzeeMoney said MTN also damaged its ties with YUL and deprived it of services of other telecommunications operators. It argued that MTN used its exclusivity agreements to stop its agents from working for any other firm with similar business, further limiting competition.

Delivering judgement in a suit filed by Ezeemoney limited on November 6th, the presiding judge, Justice Henry Peter Adonyo ordered MTN to stop acting in an unlawful and anti-competitive manner, which denies other businesses an opportunity to prosper. Justice Adonyo said MTN should pay Shs 800m to EzeeMoney in general damages for loss of business.

He also directed the telecommunications company to pay a penalty of Shs 1.5bn in punitive damages to deter not only MTN but also warn other companies against uncompetitive business tactics.

Comments

Popular posts from this blog

Did Toyin Aimakhu Shed Crocodile Tears For Suicidal Instagram Comedian, Ereme Abraham ?

Nigerian Instagram comedian, Ereme, this afternoon, revealed that he's facing a hard time and he is considering suicide. Apparently he'd spoken to actress Toyin Aimakhu about this before. She shared two videos on her Instagram wall, tearfully making a passionate plea for him not to commit suicide. Quote "If you can see this..please I beg you..I spoke to you few days ago..don't do this. I know its not easy. A lot of people don't even know what we go through to make them happy but please Ereme you are so talented...please don't do this"she said The comedian is thankfully OK now, he didnt commit suicide (Nigerians dont!), his friend went to his house to rescue him -see his update below:

Woman Commits Suicide For Not Finding A Husband While All her Friends Are Getting Married

A bridesmaid struggling to get over a break-up while all her best friends were getting married died when a 'cry for help' attempt to take her own life accidentally succeeded, a coroner ruled. Business development manager Danielle Saul, 31, was found hanged in her Manchester apartment following a night out with friends in June last year. Friends and family knew at the time that she was desperate to follow all those closest to her by settling down to marry. However, she was single and said to have been finding it difficult to move on from a previous relationship that ended five years earlier. After meeting her ex on the night in question, she invited him and his friends back to her flat in Fallowfield to continue drinking. But when they failed to reconcile and he left the following morning, Ms Saul took her own life. Her body was found hanged in the flat three days later by a friend who had become concerned after not hearing from her. An inquest, however, concluded that ...

Majid Michel Denies Sleeping With Any Actress

Ghanaian actor,  Majid Michel , has always been associated as the ladies man because of the roles he plays in most movies, but the actor who is happily married for the past 11 years to his wife, Virna, is not the bad type of husband. The actor, whom in some quarters has been perceived to be a womanizer, has denied sleeping with any actress in movies or ever engaged in extra marital affairs. Majid, who has accrued lots of respect for himself stressed that he doesn’t engage himself in those stuffs because he respects the vow he made to his wife. “Ladies don’t admire me, they admire the characters I play. If you think it’s you they want, then you are making a mistake.”  He continued: “No producer calls me for movie role because of Majid, they call me because of my gift as an actor, so it’s not really your personality they like, and until you understand this, you will be fooled, and then get trapped,” he disclosed