FRIDAY, AUGUST 15, 2014 43

sports

Daily
D
AILY Monitor
MONITOR

WWW.MONITOR.CO.UG

played out of the NCS Lugogo Arena

THE KEY HIGHLIGHTS
IN MEMORANDUM OF
NCS AND MTN
MTN rights and obligations
*Naming rights of the stadium for 10 years.
Parties hereto may upon mutually agreeable
terms and conditions extend the period of
exclusivity
*A 50 per cent subsidy on costs/fees
associated with the use of facilities at the
stadium during period of exclusivity
*The right to advertise MTN in and around
the stadium at all times of the exclusivity
period. It is expressly agreed that if NCS
allows any other person, /organization/
body to use the facilities of the stadium,
such person /organization/body shall not
obscure, obliterate, destroy, deface, or in
any manner impede the adverts placed in or
around the stadium by MTN
*Notification and exercising the right of
first refusal; should NCS desire to hire
or avail the facilities to any individual,
company, firm, partnership or any other
legal entity that sells, deals in, produces,
competes with, or provides products or
services similar or identical to those of
MTN
Signatories
*Isaac Nsereko, for MTN Foundation;
witnessed by Tom Mbalinda
*Jasper Aligawesa, for NCS; witnessed by
Philip Alexander Muwonge

THE MAIN FIGURES

During the Zuku University Basketball League, MTN branding was very prominent in the arena despite the company having nothing to do with the tournament. PHOTOS BY ISMAIL KEZAALA
league sponsorship in the 2013 season.
Fuba are said to have been agitated
MTN by obstructing some of the telecommunications branding inside the
stadium during last seasons league.
We wanted to reduce on their branding and to also protect our sponsors,
argues Fubas Tashobya.
In response, MTN ahead of this
years new campaign - comprehensively branded the indoor stadium in
their colours. Today, everywhere you
turn in and around the arena is MTN
and yellow.
Airtel were clearly uncomfortable
with the development. Our sponsors
told us that we either play at Lugogo
and lose the partnership or move to
YMCA as a solution to the impasse is
sought, adds Tashobya.
Over the years we have worked
with our corporate friends, including
MTN, to develop the game. So we are
not fighting MTN at all.
The only way our sponsor can get
value for money is through branding,
which is not the case now.
Elsewhere in the world, companies have naming rights of indoor
stadiums but because their contracts

are workable; if you have your activity you can take over branding temporarily and at the end of your event
you take off your branding.
It is not clearly stated (in the
MOU) how much percentage MTN
controls on branding. We should for
example know; is it 50 percent, 70 per
cent?
We have lost a lot because games
are not at the arena, a government facility. We had secured some local TVs
while others like SuperSport were
also interested to show the games
this season, but that would only happen at the Lugogo Arena.
We have lost following because a
certain class are more comfortable
watching in the comfort of Lugogo.
Plus, because of the nature of YMCA,
the quality of the game has also been
affected.
MOU to be reviewed
Tashobya adds: Going forward,
what we want from NCS and the
Sports Minister is to meet MTN and
sort the issue of branding; the MOU
needs to be reviewed
and we do not want at any
point to directly deal with MTN re-

garding this because as federation

we are under NCS. Airtel declined to
comment when we contacted them.
The good news for the basketball
fraternity, however, is that NCS is
working to have crucial clauses that
give most powers to MTN reviewed.
We want to review the rights of
MTN in the sponsorship agreement,
NCS chairman Bosco Onyik exclusively reveals to us, We want it to
be in a way that even other brands
like Airtel can come in without any
problem.
I have set up a committee that
should meet with MTN to see how
best the facility serves all of us. In its
current shape, the partnership is not
feasible for all.
NCS Zubair Galiwango is chairing this committee that also includes
Margaret Rwabushaija and Dennis
Mbidde.
For me it is ridiculous, really - the
100 per cent branding MTN have
done, he says, If the worst comes to
the worst, government may be forced
to buy out their deal.
We need MTN as our partners in
sports development but if what is
happening is hampering the games

growth, then something must be

done. We shall meet with them soonest.
Charles Egou, a private lawyer and
NCS board member, is helping the
said committee on the legal end.
My role is to give the legal interpretation of the MOU, Egou tells us,
But even when you look at MTNs
rights to naming and branding, they
do not have the right to deny others
to use the stadium; even with their
first refusal.
Initially they (Fuba, Airtel and
MTN) worked together well until
MTN decided to brand the entire
arena in their colours, and I personally think they have overdone it.
This committee has been charged
with the responsibility of reviewing the MOU to a win-win situation
where MTN retains their naming
rights and other companies, even if
competing, also do business and get
value for their money.
The game will hope this review
comes soonest; especially with
matches at YMCA recently being
washed out and league play-offs upon
us in November.

Federation of Uganda Basketball

Association (Fuba) President and Uganda
Olympic Committee Vice President
Ambrose Tashobya.
First there was conflict of interest in
drafting up that MOU, whereby Katamba
was the chairman NCS and at the same
time MTNs legal officer. So no surprises
those clauses we are seeing.

General manager corporate services and

chief legal counsel of MTN. Also former
National Council of Sports Chairman
Anthony Katamba.
We have never stopped the Fuba league
from the arena. Our partnership with NCS
is clear. We do not run that facility. NCS
do. Fuba should organize themselves
and improve the way they conduct their
business.