(Adds details, background)
JOHANNESBURG, MAY 29 – African mobile operator MTN
said on Tuesday it is working with U.S. authorities to manage
compliance with sanctions against Iran, one of its biggest
markets.
The telecoms giant is facing a $4.2 billion suit in U.S.
courts over allegations by rival Turkcell that it
used underhand tactics in acquiring the Iranian licence.
Turkcell says MTN bribed both South African and Iranian
officials and asked South Africa to provide weapons to Iran to
acquire the permit.
Turkey’s largest mobile operator initially won a bid for the
licence in 2004. Tehran later backed out of the deal and awarded
the business to MTN in 2005.
“MTN is working with the U.S. authorities to manage its
compliance with U.S. sanctions against Iran. MTN also continues
to retain international legal advisors to assist the group in
remaining compliant with applicable EU, U.S. and UN sanctions,”
MTN said in a statement ahead of an annual general meeting.
The mobile firm has bought back shares worth 1.36 billion
rand ($163 million) in the last three months and says it will
keep buying when good opportunities arise. Last year, MTN
repurchased shares worth 2.29 billion rand.
($1 = 8.3435 South African rand)
(Reporting by Helen Nyambura-Mwaura; Editing by Ed Stoddard)
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