Ghanaian parliament has approved Vodafone’s takeover of state-owned Ghana Telecom (GT).

The $900m deal – which gives UK-based Vodafone a 70% stake in the firm – has been attacked by opposition MPs for grossly undervaluing GT.

But communications minister Benjamin Aggrey-Ntim said it would enable Ghana to become a vibrant and competitive player in the telecoms market.

GT is Ghana’s third largest mobile phone firm with 1.4 million customers.

As well as mobile interests, Ghana Telecom has a monopoly over fixed-line services and employs 4,000 staff.

However, the company is unprofitable and has debts of $400m.

Looking ahead, Vodafone said it plans to boost Ghana Telecom’s share of the mobile market to 25% from its current 17% and invest $500m to expand network coverage.

There are 2.7 million mobile subscribers in Ghana, although overall mobile penetration per head of the population in the west African country remains low at 35%.

Rapid uptake in mobile use on the continent has attracted foreign firms.

Vodafone already owns half of Vodacom, the leading mobile business in South Africa, Tanzania, Lesotho and the Democratic Republic of Congo.

News reported by The BBC

US aviation officials are accusing American Airlines of major breaches of safety, including intentionally flying planes known to need repairing.

The Federal Aviation Administration (FAA) wants to fine the company a total of $7.1m (£3.8m).

An FAA statement said two MD-83 planes were used on dozens of flights in 2007, even though repair work reported as necessary by pilots had not been done.

Problems with drug and alcohol testing were also found, officials say.

The FAA statement comes hours after British Airways confirmed it had sealed an alliance with American Airlines, allowing the two carriers to agree fares, routes and schedules together.

The alliance also includes Spain’s Iberia, which is merging with BA.

News reported by The BBC

A holiday club whose directors allowed potential members to be offered “seriously misleading” information has been wound up.

A High Court judge said the “free holiday” promoted by TAG World Services Limited, based in Sudbury in Suffolk, was not free.

A number and wide variety of complaints were received, leading to an inquiry by a branch of the Insolvency Service.

Consumer groups have warned about the potential pitfalls of bogus clubs.

Probe

Membership of the club, which was promoted at presentations in hotels, cost customers £2,000 plus annual renewal fees.

An inquiry by the Companies Investigation Branch of the Insolvency Service found that there were no benefits to membership, or that they were insignificant when compared with High Street travel agencies or internet deals.

It added that a number of “dubious marketing associates” had been used to offer membership.

A cooling-off period for people signing up had only been offered very late in the process, and people who tried to take the holiday were let down.

Warning

The government’s advice service Consumer Direct said that not all holiday clubs were bogus.

Holiday clubs have been the subject of warnings from experts

Legitimate clubs would give people written confirmation of what was said during a presentation, allow them to take a contract away for consideration, and offer full cancellation rights.

Scratchcard “prizes” and unsolicited telephone calls often promote the presentations held in plush hotels by bogus clubs.

“Free” holiday offers often include extra costs, such as flights, and sometimes no dates or destinations are guaranteed.

News reported by The BBC