Kumasi Asante Kotoko have suffered another ‘casualty’ as telecommunications giants, MTN suspends all financial obligations to the club with immediate effect.
Football activities in the country have come to a halt following the outbreak of the novel pandemic.
The Ghana Premier League side has dominated the news for the wrong reason after the ruling from FIFA on Emmanuel Clottey.
However, reports say there is a clause in their sponsorship agreement that allows a suspension of the obligations in the event of a force majeure- in this case, the COVID-19 pandemic.
General Manager of the club, Yves Nana Gyambibi Coker confirmed the latest development to Kumasi based Luv FM.
“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. There is a letter from MTN to Asante Kotoko claiming they are suspending all their financial obligations to the club, this is in conformity with a clause in the contract that allows them to do so,” he said.
Mr Coker lamented the situation and explained what it means to the club’s financial standing:
“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 the 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,” he added.
SOURCE: Adomonline
