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SCA clears Turkcell’s bribery brawl with MTN to be staged locally

SCA clears Turkcell’s bribery brawl with MTN to be staged locally
Lindsey Schutters
By Lindsey Schutters
7 May 2025
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In a judgment that resurrects more than a decade of international mudslinging, the Supreme Court of Appeal has ruled that South African courts do have jurisdiction to hear Turkcell’s bribery claims against MTN Group.

It’s a procedural win, but a big one, for the Turkish mobile phone operator that has been chasing MTN through courtrooms since 2012 for damages exceeding $4.2-billion. 

The Supreme Court of Appeal (SCA) judgment, handed down on 29 April 2025, opens the door for closure on a dispute dating back to 2004 when Turkcell claims it legitimately won an international tender process for Iran’s first private GSM licence. 

According to Turkcell’s allegations, MTN subsequently engaged in what it internally called “Project Snooker” – a coordinated effort to “snatch” the licence through improper means after losing the tender.

A snooker move, or just a foul?


The allegations read like a geopolitical spy novel. 

MTN is accused of dangling military tech (reportedly nicknamed “the Fish”) in front of Iranian officials, promising to swing South Africa’s vote at the International Atomic Energy Agency, and slipping $200,000 to SA’s then ambassador to Iran, Yusuf Saloojee. 

Even former President Thabo Mbeki is said to have played a diplomatic role, allegedly meeting with Iranian officials as part of MTN’s campaign to win the licence.

Also named is then Iranian deputy foreign minister Javid Ghorbanoghli. If Turkcell’s claims hold, MTN didn’t just win a tender – it waged a campaign of cross-border corruption with global implications.

MTN says not so fast, and not our courts


MTN, for its part, has always denied the claims, calling the lawsuit a “frivolous” shakedown and an “extortionate litigation threat.” The company set up a Lord Hoffmann-led probe that found no wrongdoing, though Turkcell declined to participate.

Previously, the big yellow network had successfully argued in the high court that South African courts didn’t have jurisdiction over something that happened in Iran. But the SCA didn’t buy that logic. In a judgment that now opens the door to a full trial, the appellate judges ruled: yes, jurisdiction exists. No, you don’t get to export corruption and then say it’s none of South Africa’s business.

Importantly, the SCA also agreed that Iranian law applied to key elements of the case, which could still shape how the next stages unfold.

Turkcell’s counsel, Cedric Soule, welcomed the ruling in a statement shared with Daily Maverick:

“EAC [Turkcell’s wholly owned subsidiary] is pleased with the Supreme Court of Appeal’s decision. EAC now looks forward to presenting to the South African courts – for the first time – the evidence that it believes shows that MTN committed acts of bribery and corruption to overturn the award of an Iranian GSM licence to Turkcell.”

Daily Maverick’s request for comment from MTN was met with a reference to the company’s stock exchange news service announcement on 30 April: “The decision to uphold the appeal does not relate to the merits of Turkcell’s claims or the allegations made against MTN Group, which have not yet been tested in court. MTN has always maintained that the Turkcell litigation was without merit and has expressed confidence that it would successfully defend these proceedings. MTN intends to approach the Constitutional Court to appeal this decision,” the company said. 

Catch up


Why this matters


This ruling isn’t just about MTN. It’s about whether South African companies can play fast and loose with foreign officials and then come home without answering to local courts. The SCA’s decision sends a clear message: not on our watch.

If Turkcell eventually gets its day in court – and that day now looks a lot closer – South Africa could see one of its most high-profile corporate corruption trials. The fallout could shake diplomatic relationships, telecoms markets and boardrooms alike.

For now, MTN says it’s taking its appeal to the Constitutional Court. But win or lose, the company faces a reputational trial in the court of public opinion  –  and that court rarely grants extensions.


 

Meanwhile, in Washington...


As if MTN didn’t already have enough legal heat, a US District Court gave the green light to a separate lawsuit filed in 2022 under the Anti-Terrorism Act. That case alleges MTN provided material support to terrorist groups, though the specific accusations are still sealed.

The timing could not be more awkward. MTN Group chair Mcebisi Jonas was recently appointed as South Africa’s Special Envoy to the United States. Government officials have defended the appointment, saying Jonas’ past statements were taken out of context and that neither MTN nor its Iranian partner Irancell are under sanctions.

Jonas, a former deputy finance minister and no stranger to political minefields, was vetted – albeit less formally than an ambassador – and deemed ready to handle trade talks and bilateral diplomacy.

Far-reaching significance

The SCA’s ruling is a sea change in South Africa’s legal approach to transnational corruption cases. By asserting jurisdiction over allegations involving South African entities and individuals in international bribery schemes, the court has taken a stand that could have far-reaching implications for corporate accountability.

The judgment signals that South African companies operating internationally cannot escape domestic legal scrutiny for alleged corrupt practices abroad – a principle that aligns with global anti-corruption efforts. DM

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