By Our Correspondent
Telecommunications giant, Glo Mobile Limited, the Nigerian Communications Commission (NCC), and indigenous firm Megatech Engineering Limited have been taken before the Federal High Court in Abuja over an alleged breach of contract.
The legal action was instituted by another indigenous company, Mosakab Nigeria Limited, and its promoter, Mashood Mustapha, who are seeking more than N20 billion in damages for what they describe as an unlawful violation of their contractual agreement.
In the suit marked FHC/ABJ/CS/1534/2024, the plaintiffs are asking the court to nullify the sale of the Spectrum Licence in the 2.6 GHz band by Megatech to Glo Mobile, insisting the transaction was tainted by fraud and illegality.
Megatech Engineering Limited, Glo Mobile, and the NCC are listed as the 1st to 3rd defendants.
Through their counsel, George Ibrahim, (SAN) of the Ogwu James Onoja SAN Chambers, the plaintiffs are also seeking an order directing Megatech to fulfil its financial obligation of $10 million due under a Consultancy Agreement executed on June 29, 2017.
Additionally, they are requesting an order compelling the NCC to revoke the 2.6 GHz Spectrum Licence issued to Megatech in March 2020, which they claim was secured through their facilitation as consultants.
The plaintiffs further want Megatech to pay N5 billion for breach of contract and another N10 billion as general damages for the harm allegedly suffered. They are also asking the court to mandate Megatech to allocate between 5 and 10 percent of its outstanding shares to the second plaintiff, as stipulated in their 2017 Consultancy Agreement.
In their statement of claim, they assert that Megatech engaged their consultancy services in 2017 to help secure a national licence for the 2.5/2.6 GHz spectrum band. Following the agreement, Mosakab Nigeria Limited formally executed the contract, after which its promoter deployed both human and material resources to actualise the assignment.
Subsequently, after multiple engagements with relevant government agencies, the NCC on March 26, 2020, awarded Megatech a 40 MHz (TDD) Spectrum Licence in the 2.6 GHz band for nationwide deployment for a five-year period.
The plaintiffs claim they facilitated communications between Megatech and the NCC and that statutory payments by Megatech were made afterwards.
They further allege that Megatech later opted to share the Spectrum Band with Glo Mobile, a process they helped to secure with the NCC at a cost of $250,000 of their own resources.
However, according to them, problems arose when Megatech failed to pay the agreed $10 million consultancy fee, remitting only $421,052 and leaving an outstanding balance of $9,578,947.
Despite benefiting from the spectrum allocation, they claim Megatech proceeded to sell its interest to Glo Mobile without settling the outstanding consultancy fee.
The plaintiffs are seeking a court declaration that they fully carried out their contractual obligations and are entitled to the unpaid balance of $9,578,947. They also want the court to order the defendants to pay N50 million as litigation costs.
Justice Mohammed Garba Umar has adjourned the matter to March 3, 2026, for hearing.
