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Court dismisses $200m lawsuit on NetOne

by Business reporter
11 Feb 2014 at 15:29hrs | Views
A South African-based businessman's bid to sue Net-One and a Chinese telecommunications equipment producer, over a $200 million network upgrade tender, which he claimed was corruptly awarded to the latter, on Monday had his suit dismissed by the Administrative Court for non-appearance.

Huawei Technologies won a $200 million contract to upgrade Net-One's equipment and cell-towers as part of the firm's migration to next-generation mobile broadband offering LTE.

Tafadzwa Muguti had approached the Administrative Court seeking a review of NetOne-Huawei Tech network upgrade contract that was signed in October last year. He was challenging the legality of the contract. But on the day the matter was heard, Muguti did not show up. This left the Administrative Court judge Justice Herbert Mandeya with no option but to grant a default judgment against Muguti.

"It is ordered that in default of appearance by applicant (Muguti), the application for review be and is hereby dismissed," said Justice Mandeya. Muguti has now engaged Antonio law firm, to rescind the court decision. He argues that he was not served with a notice for hearing saying it was served on an employee who had been fired and did not bother to inform the relevant authorities about the notice.

Source - Herald