OTA loses appeal against US$1.3 billion fine over foreign exchange procedures

Orascom Telecom has lost its appeal against a US$1.3 billion fine imposed by the Algerian Courts, although the jail sentences against a senior director has been overturned.

The Algerian Court of Appeal confirmed the judgement handed down by the Algerian Court of First Instance on March 28, 2012 against Orascom Telecom’s subsidiary in Algeria, Orascom Telecom Algerie (OTA).

The judgement relates to a previously disclosed claim brought in 2010 by the Algerian authorities alleging breaches of foreign exchange regulations.

OTA maintains that together with its senior executive the company has acted in compliance with the law and OTA is taking the necessary steps to file an appeal with the Algerian Supreme Court.

The lodging of the appeal should provisionally suspend the judgement.