Uganda Telecom sued by MTN for contract breach

www.WirelessFederation.com/news: A case has been filed against Uganda Telecommunications Ltd (UTL) by MTN Uganda in the Kampala High Court’s Commercial Division for unpaid interconnection fees, seeking UGS7.2 billion (USD3.55 million).

UTL has been accused of breach of contract by MTN which claimed that February 2001 its management entered into an agreement with UTL to interconnect their respective networks, as required by their respective telecoms licences awarded by the Uganda Communications Commission.

According to MTN, in accordance with the interconnection charges that were detailed in the agreement its management issued invoices to UTL, but that the state-owned telco failed to pay them. MTN has asked for a court order compelling UTL to pay the owes plus interest, damages and costs.