Airtel Uganda in trouble for ‘cheating’ its super mobile money agent, likely to cough Shs3bn in damages

Airtel Uganda has been dragged to Commercial Division of the High Court for allegedly cheating one of its super agents through which the telecom effects mobile money services.

In their Civil Suit No. 727 of 2021, MARTS JP CONSULT-SMC LTD through their lawyers of M/s Turinawe Kamba & Co Advocates faults Airtel Uganda of maliciously reorganizing and restructuring the geographical market that was originally assigned to them in a manner that diminishes their business operations leading to financial detriment.

Airtel Uganda is widely accused of acting imprudently regarding the restrictiveness with which it treats its franchise partners involved in facilitating mobile money transactions on its behalf.

Having invested over Shs300m, the aggrieved company has been in the business of promoting the sale of a range of Airtel products and services including mobile money operations for the last 4 years.

Specifically assigned the Nakasero II area and Mutungo in Nakawa Division, MARTS JP CONSULT-SMC LTD has over the years been serving more than 700 sub agents on behalf of Airtel Uganda within the assigned geographical locations. And all was well until sometime last year when Airtel allocated rival franchise partnership rights in a manner that competed and threatened the plaintiff company’s own business interests.

Having construed Airtel Uganda’s actions to be acts of unlawfulness and breach of contractual obligations, the aggrieved plaintiff company is imploring court to declare all the impugned acts of aggression illegal besides issuing a permanent injunction restraining Airtel Uganda from ever taking actions or steps that result into diminishing or threatening their business interest.

The plaintiff company also protests the Airtel Uganda acts as unreasonable because since being contracted into the franchise partnership on 13th day of November 2018, it’s officials, staff and employees have diligently participated in marketing, selling and distribution of its (Airtel Uganda) products and services in the areas of Nakawa territory specifically Mutungo and Nakasero II.

Now, MARTS JP CONSULT-SMC LTD wants court to declare that the defendant/Airtel Uganda unlawfully terminated their dealership contract in the affected areas and also award them Shs3bn in general damages which the offending Airtel Uganda Ltd must pay.