18 November, 2015

Ahhhh!!!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.

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