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China’s Star Times Group is suing the Government of Ghana for $200 million over a cancelled – and allegedly – wrongfully terminated contract. The agreement covered the building and establishing the nation’s Digital TV system.
The action will be heard at London’s International Commercial Court.
The contract was awarded back in April 2012, and the action is believed to be alleging that Ghana’s Ministry of Communications cancelled the contract without cause and “unnecessarily” awarded the business to another company (KNET). The writ is understood to allege that Ghana’s deputy minister of Communications was previously the head of KNET.
China’s Exim Bank had already agreed to fund a $96 million loan to finance the project