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B.A. Utd Fined ?5m For Breach Of Contract

Fri, 23 Apr 2004 Source: --

A Wa circuit court, presided over by Mr Mustapha Mohammed, has awarded general damages of ?5 million against premier side, B.A United for breach of contract against Young Heroes Football Club, an under-17 side in Wa.

B.A United are about to pay Young Heroes a sum of $3,900 or its equivalent at the current exchange rate with interest at the current rate from September 2000, when the case started to the date of judgement on April 13, 2004. United were dragged to court by Young Heroes for failing to pay the 30 per cent transfer fee for Bawa Mohammed, a former player of Young Heroes transferred to Egyptian side, Zamalek at $23,000.

According to the court, the plaintiff would in addition recover from the defendants, a set of jerseys and an amount of ?1 million with interest at the current rate. A statement of claim filed on behalf of the club by Mr Michael Kabumah, a Wa-based legal practitioner, stated that in 1999, the club loaned one Bawa Mohammed to Kwamax FC, a division one side in Wa.

It said, without the knowledge and consent of Young Heroes, Kwamax transferred the player to B.A. United. According to the plaintiffs, when it became known to them that Kwamax had transferred the player to the defendants, they caused Kwamax to rescind the agreement and this it did per letter dated June 26, 2000.

Plaintiffs said, they then entered into a parole agreement with the defendants who agreed to pay a transfer fee of ?1 million in respect of the player and to give a set of jerseys and six footballs to them.

They said, under the written contract, the defendants, among other things were expected to pay 30 per cent of the transfer fee of Bawa Mohammed in the event of him being transferred by the defendants to another football club.

The plaintiffs said on July 30, 2002, they became aware through a publication in the Graphic Sports that the defendants had transferred Bawa Mohammed to Zamalek Football Club of Egypt with the assistance of the Ghana Football Association, which issued the International Transfer Certificate.

According to the plaintiffs, following series of reminders on the issue, the then chairman of the defendants, Mr Kingsley Osei-Bonsu, informed the club that an amount of $23,000 being the transfer fee of the player had been received.

It said, the defendants subsequently paid an amount of ?24 million representing $3,000 at the exchange rate of ?8,000 per the US dollar at the Wa branch of the Ghana Commercial Bank. The plaintiffs said they quickly notified the defendants of the shortfall but they have up till date refused to honour the rest of the agreement.

The plaintiffs said as a result of the breach of contract by the defendants, they had suffered since they had intended to use their share of the gross transfer fees of Bawa Mohammed to purchase a bus for the team, the price of which has since risen from ?35 million to ?75 million. B.A. United were not represented in court.

Source: --