Corporate News
Mr Tom Omariba, MTN Business Kenya MD. PHOTO | FILE
By THOMAS KARIUKI
In Summary
Mobile Telephone Network (MTN) Business Kenya Limited
has sued Iphone Global over a Sh8.2 million ($ 97,604.21) debt arising
from provision of Internet services.
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Iphone, previously referred to as UUNet, allegedly procured
Internet services in 2009 and 2010 from MTN but has since refused to pay
the dues as per their agreement.
MTN Business Kenya told the court that defunct
UUNet had failed and neglected to make any payment for the services and
instead only made empty promises.
The sums were to be paid on a monthly basis on receipt of invoices from the plaintiff.
They said that the plaintiff had a meeting with the company directors and it was agreed on how the debt would be paid.
It later emerged that the company was selling its
shares to Linkoff Communication Systems thereby prompting them to write
to the buyer alerting it about the debt owed to them.
In 2013, MTN leased lines from Kenya Data Network,
Telkom Kenya, Jamii Telecoms and Wananchi Group. It also launched a
project to install its own fibre cable network.
They alleged that Iphone indicated that the
potential buyer would settle the debt after the purchase of shares was
concluded but this was not to be.
“No payment has been done since we sent our last
demand and a judgment should be entered against the defendants,” said Mr
Obare Nyaenga the chief accountant at MTN.
Mr Nyaenga claimed that Iphone Global has been
escaping responsibility and it was high time that they honoured their
side of the bargain.
MTN has also sued the directors of Iphone in their
individual capacities saying that they were liable for all the claims
they had before selling the company.
The court ordered that the company files its response to the case within 15 days
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