Govt Wants To Pay $50 Million For GT, But....

... Telecom Malaysia Want US$124 million
Telekom Malaysia has gotten the government of Ghana's (GoG) admission that it will soon have to pay US$50 million (RM190 million) of its foreign currency reserves to satisfy its liability in respect of its investment in Ghana Telecom.

Nonetheless, Telekom has started international arbitration proceedings against the GoG claiming that the latter owed a further US$124 million, which includes interest on the US$50 million. The claims will be resolved in The Hague, Netherlands, in July.

In a statement on March 31, Telekom said the acknowledged US$50 million liability represented an investment deposit paid to purchase an additional 15% stake in Ghana Telecom that was never completed.

It said the liability was part of a larger dispute over the GoG's treatment of Telekom's investment in Ghana. Telekom said its efforts to reach an amicable solution had long been rebuffed by GoG.

"While the admission by the government of Ghana of a US$50 million liability is a welcome step forward, we have been left with no option, but to pursue our legal action to recover all amounts due to Telekom," said Telekom chairman Tan Sri Radzi Mansor.