Vodacom sued for R197 billion in DRC
It hasn't been a great month for network services providers in Africa. MTN landed itself in hot water up in Nigeria, while in the DRC, a shareholder from one of Vodacom's minority partners is suing the company for close on R200 billion.
- Read more about MTN's Nigerian fine here.
According to reports, Alieu Conteh, the controlling shareholder of Congolese Wireless Networks (CWN), a company which holds a minority 49% stake in Vodacom Congo, took his case to the Commercial Court of Kinshasa against several respondents, including Vodacom International and Vodacom Congo. Conteh is claiming that Vodacom was part of undermining his position as a statutory director of CWN. Vodacom believes Conteh's claim is without merit, and has opposed the court bid.
In its recently released interim results statement, Vodacom said:
"The action also includes an unsubstantiated claim for $14bn against VIL (Vodacom International) for its alleged role in helping to undermine Conteh's position as former statutory manager."
Vodacom has 11,9 million subscribers in the DRC.