Turkcell opposes MTN’s Constitutional Court appeal in $4.2bn Iran licence case
Turkcell’s subsidiary, East Asian Consortium B.V. (EAC), has filed papers opposing MTN’s application to the Constitutional Court for leave to appeal a recent Supreme Court of Appeal (SCA) ruling.
The SCA judgment, handed down in April, confirmed that South African courts have jurisdiction to hear EAC’s $4.2bn civil claim against MTN over an allegedly tainted telecom licence in Iran.
Background to the dispute
The case relates to Turkcell’s long-standing allegations that MTN and its former executives used bribery to secure a GSM licence in Iran that was initially awarded to Turkcell in the early 2000s. MTN has denied wrongdoing.
Turkcell’s filing is the latest development in a case that has seen years of procedural delays and jurisdictional challenges.
Arguments against MTN’s appeal
In its submission, Turkcell argues that MTN is attempting to delay proceedings and avoid a trial. The company also questions MTN’s ongoing reliance on the Hoffmann Report—an internal investigation commissioned by its board—as evidence of exoneration, saying it lacked the independence and transparency of a court process.
Turkcell further rejects MTN’s argument that Iranian courts would offer a fair and appropriate venue for the dispute.
Next steps
The Constitutional Court must now decide whether to grant MTN leave to appeal. A decision is expected within three months.
Turkcell is represented by Vasco de Oliveira Incorporated, with counsel Alistair Franklin SC and J.J. Meiring.