Telecoms giant, MTN Group, has gone to the Constitutional Court of South Africa to challenge a ruling that allows Turkish telecoms company, Turkcell, to pursue a $4.2 billion lawsuit against it. The case, which has dragged on for over a decade, is centered on claims that MTN secured an Iranian telecoms licence through bribery and corruption.
The dispute started in 2004 when Iran was offering a GSM licence for mobile network services. Both MTN and Turkcell were interested. According to Turkcell, it was initially awarded the licence but was later pushed out of the deal. The Turkish firm alleges that MTN used backdoor dealings, including bribery of officials in Iran and South Africa, to take over the licence. MTN, however, has repeatedly denied all the allegations and maintained that it acquired the licence lawfully.
Turkcell first took the matter to court in 2013, filing a suit at the South African High Court to claim damages. The company said it lost profits and business opportunities worth $4.2 billion because of MTN’s actions. But in 2022, the High Court dismissed the case, saying South African courts had no jurisdiction over events that took place in Iran. It said the case should be handled by the Iranian legal system.
However, in April 2025, the South African Supreme Court of Appeal overturned that earlier ruling. The appeal court said that the case could be heard in South Africa, allowing Turkcell to proceed. This decision did not go down well with MTN. The company quickly took the matter to the Constitutional Court, South Africa’s highest court, insisting that the case should not be tried locally. MTN argued that everything being discussed in the case happened outside South Africa and should therefore be handled in Iran.
Two key people mentioned in the lawsuit are Phuthuma Nhleko, former CEO of MTN Group, and Irene Charnley, a former director. Both are also part of the appeal to the Constitutional Court. They are asking the court to dismiss the case from South African courts, saying that it sets a dangerous precedent to try foreign matters locally.
Meanwhile, Turkcell believes MTN is simply trying to delay the legal process. The company’s global legal adviser, Cedric Soule, said the evidence they will present will show that MTN indeed committed bribery to secure the deal. He also praised the judgment of the Supreme Court of Appeal and urged the Constitutional Court not to take the appeal.
Legal experts say the case could have a major impact on how South African companies operate in foreign markets. If Turkcell wins, it may open the door for more foreign disputes to be heard in South African courts, especially cases involving misconduct by South African firms abroad.
The Constitutional Court has not yet decided whether it will hear MTN’s appeal. While both MTN and Turkcell wait, the telecoms world is closely watching, as the outcome could determine whether this long-standing legal battle is nearing its end or just entering a new chapter.
