MTN is still fighting claims that the company provided material support to anti-US forces in Iraq and Afghanistan between 2005 and 2010
The United States Department of Justice is “engaging” with the MTN Group regarding its business interests in the Middle East.
MTN presented its interim results on Monday, where CEO Ralph Mupita provided an update on the company’s legal matters.
Annual financial statements released in March showed MTN was connected to at least five anti-terrorism investigations in US courts.
Grand jury investigation
Most recent additions to MTN’s legal matters in the US relate to requests by the US Justice Department related to Iran and Afghanistan.
Mupita confirmed on Monday that US justice representatives had been in touch with MTN’s US counsel regarding a grand jury investigation.
“We said we are willing to engage. They have asked for a request for information, and that request for information is about two markets – Afghanistan and Iran – and we have started a process of voluntarily engaging with them,” said the MTN CEO.
“We are not being accused of any wrongdoing, so as this matter develops, we will update the market in the near future,” he added.
Grand jury investigations in the US are used to determine whether there is probable cause to believe that a juristic person has committed a federal crime, as explained by the US Justice Department.
Amended Iraq complaint
Two other cases Mupita touched on related to the Supreme Court of Appeal (SCA) upholding MTN’s argument that the matter between them and Turkcell should be heard by Iranian courts.
“However, the SCA also granted EAC’s appeal in respect of the jurisdiction ruling made by the High Court.
“MTN has filed its application for leave to appeal in relation to the jurisdictional issues to the South African Constitutional Court,” stated MTN.
The other relates to claims that MTN provided material support to anti-US forces in Iraq and Afghanistan between 2005 and 2010.
“The plaintiffs filed an amended complaint on 6 August [which] now includes additional claims against MTN,” confirmed Mupita.
The CEO said the company intends to file a motion to dismiss the amended complaint.
