Mobile Money Providers Sue Safaricom for Service Stoppage
Tuesday, November 24, 2015
Safaricom has been sued by two mobile money service providers for suspending their services through alleged intimidation.
Lipisha Consortium Limited and Bitpesa Limited Friday went to court over termination of their services on November 12.
The pair offers a platform for businesses that enables them to collect, process and integrate payments from customers and clients using mobile money.
The firms blamed Safaricom for compelling Lipisha, through intimidation, to cease offering the services nearly a week ago with Bitpesa or face the risk of terminating their business.
According to Lipisha, Bitpesa is one of their largest customers hence the suspension results to the stoppage of services to Safaricom.
Lipisha claimed that a large amount of its money is being withheld in Safaricom’s account, a situation which exposes it to a risk of being sued by other customers for multiple claims.