Indigenous Coy drags Glo, NCC, Megatech to Court over refusal to pay USD 9, 578, 947 contractual debt
Telecommunication giant, Glo Mobile Limited, Nigerian Communication Commission (NCC) and an indigenous company, Megatech Engineering Limited have been dragged before the Federal High Court in Abuja over alleged breach of contractual agreement.
They were sued by an indigenous Company, Mosakab Nigeria Limited and its promoter, Mashood Mustapha, who are claiming over N20billion as damages for the unlawful contractual agreement breach.
In the suit marked FHC/ABJ/CS/1534/2024, the two plaintiffs are praying the court for an order voiding or setting aside the sale of the Spectrum Licence in the 2.6 GHZ Band by Megatech to Glo mobile on the ground that the purported sale was accentuated by fraud and illegality.
The suit has Megatech Engineering Limited, Glo Mobile and NCC as 1st to 3rd defendants.
In the suit filed by George Ibrahim (SAN ) of Ogwu James Onoja (SAN) law firm in Abuja, the two plaintiffs asked the court to order Megatech to honour its monetary obligation of ten million US dollars due to them in their Consultancy Agreement executed of June 29, 2017.
Also, they are praying for an order compelling the NCC to revoke the Spectrum License in the 2.6 GHB Band issued to Megatech in March 2020 at their facilitation as Consultants.
Besides, the aggrieved plaintiffs asked that Megatech be ordered to pay them N5bn for breach of contract and another N10bn as general damage for the injury inflicted on them through the breach of the contract.
Similarly, they want the court to order Megatech to allot between 5 to 10 percent of its outstanding shares to the second plaintiff in line with the executed Consultancy agreement of June 29, 2017.
In their statement of claims, the plaintiffs averred that Megatech Company in 2017 consulted and retained their service as consultants to facilitate and secure the procurement of 2.5/2.6 GHZ Band for National License operation.
In furtherance to the engagement, the 1st plaintiff, Mosakab Nigeria Limited was said to have executed a formal agreement in June of the same year prompting its promoter to deploy both human and material resources for the realization of the agreement.
After series of meetings with government agencies, the NCC in March 26, 2020 was said to have offered a Spectrum License of 40 MHZ (TDD) on 2.6 GHZ Band to Megatech for nationwide deployment for a period of 5 years.
After series of correspondences on behalf of Megatech with NCC, plaintiffs claimed that statutory payments were made by the company.
The plaintiffs however claimed that along the lines, Megatech opted to share the Spectrum Band with Glomobile and that they as consultants achieved the feat with NCC and their resources of USD 250,000.
They averred that trouble began when Megatech reneged in the payment of USD 10M due to them but only paid USD 421,052 leaving a balance of USD 9, 578, 947 unpaid despite the formal agreement.
Megatech after taken the benefits of the Spectrum Band allocation was said to have entered into agreement with Glomobile to sell its interest without paying the plaintiffs, outstanding USD 9, 578, 947 as contained in the agreement.
They therefore prayed the court for declaration that they carried out their obligations as contained in the agreement and that they are entitled to be paid USD 9, 578, 947 as outstanding balance.
Plaintiffs also asked the court to compel the defendants to pay them N50M as cost of litigation.
Meanwhile, Justice Mohammed Garba Umar has fixed March 3, 2026 for hearing of the suit.
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