Telecommunications giants, MTN have seized all financial obligations to Asante Kotoko SC with immediate effect due to the coronavirus outbreak.
A clause in the sponsorship agreement between the two entities allows a suspension of the obligations in the event of a force majeure – in this case, the novel coronavirus pandemic.
Football activities in the country has been halted since 5 March 2020 in a way of preventing the rapid widespread of the deadly disease.
Over 2.6 million people Worldwide have been infected by the coronavirus and over 180,000 have perished.
Ghana has over a thousand number of the coronavirus cases with a death toll of 9.
Speaking in an interview with Luv FM in Kumasi, Asante Kotoko General Manager, Nana Gyambibi Coker confirmed the latest development.
“It is stated categorically in the contract with MTN that any time there is closure led by a force majeure it means the contract can either be terminated or suspended,” he said
“There is a letter from MTN to Asante Kotoko claiming they are suspended all their financial obligations to the club, this is in conformity of a clause in the contract that allows them to do so,”
Coker claims the decision to suspend the financial obligations by MTN will have a toll on the club’s finances.
“There will be serious difficulties in terms of the club’s financial situation. Coupled with the absence of football, Kotoko is not making any revenue which will make it difficult for club to fulfill its financial obligations to whoever the club is in contract with.”
“This and many other reasons are why we have been engaging employees of the club especially the playing body to accept pay cuts so that the club can be taken care of and sustained in this hard times.”
