April 23, 2013

UTL Dragged to Court Over Shs17bn

ZTE Corporation, a Chinese firm has sued Uganda Telecom over failure to pay more than $6.7 million. The money was for designing, planning, integration, operation and maintenance of the back bone link project over five years ago.

It’s alleged that ZTE executed the contract on October 29, 2007 at the value of $3.4m, which subsequently varied as parties made local purchase orders that exceeded the contract sum.

Though their Lawyers, the technology firm alleges that UTL defaulted on the payments to the contract price as payments were intermittent and consistent, leading to the signing of a payment agreement on the mode of payment.

The case was filed at the commercial division of the high court although UTL is yet to file its defence.The company’s manager, Jamal Sultan, promised that the company will pronounce itself on the allegations in the due course.

 

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