MTN Network Seized by Guinean Government
Published on: 5th May 2011
Note -- this news article is more than a year old.
The government of Guinea is reported to have has seized facilities belonging to South Africa based MTN in a dispute over an alleged outstanding payment.
According to a decree signed by Guinea president Alpha Conde and seen by the Reuters news agency, the government had decided to requisition all personnel, equipment, facilities, equipment and assets of the company from May 2, until the dispute is settled.
"The Post and Telecommunications Regulatory Authority will provisionally administer the company until the final resolution of the dispute," the decree, which had no date, said.
MTN says that it is still negotiating with the government.
MTN brought the local mobile network, Areeba in 2007 as part of the US$5.53 billion offer for Investcom, which had mobile phone operations in Africa and the Middle East.
Since the transaction, the government has claimed that it is owed EUR15 million from the deal.
On the web: Reuters