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Economy

MTN floors NLA in court

An Accra Fast Track High Court presided over by Justice Mensah today ruled that the National Lotteries Authority (NLA) did not have the authority to stop MTN's Go Rio Promotion.

The NLA had secured a seven-day ex-parte injunction in an Accra Circuit Court against MTN’s Go Rio promotion in the run up to the 2014 FIFA World Cup in Brazil.

Prior to going to court, NLA claimed the promotion was a lottery so MTN had to pay 20% of the SMS proceeds to NLA but MTN refused to pay any moneys, insisting that the promo was not a lottery.

MTN then went to the High Court to cancel NLA’s injunction and to also filed a counter suit, seeking a qou warranto relief, which challenges NLA’s authority to stop the promo. MTN then went ahead with the promo, while the case was in court.

MTN also sought damages to the tune of GHS2 million against NLA for trying to prevent the promo.

The Court today ruled that the MTN Go Rio Promo was not a lottery but an ordinary consumer reward promo. It further ruled that NLA had no authority to have tried to stop MTN from going ahead with the promo.

It however did not grant the GHS2million damages but award cost of GHC20,000 against the NLA.

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DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.