Denis O'Brien's Caribbean mobile phone company Digicel has issued a claim in the English High Court for hundreds of millions of pounds of damages against Cable and Wireless.
But the British firm has dismissed the claim as 'without foundation', adding that it would vigorously defend itself.
Digicel alleges that C&W was engaged in illegal behaviour by impeding and delaying Digicel's entry into various telecoms markets in the English-speaking Caribbean region.
Digicel is claiming damages from loss of revenue and profits, as well as exemplary damages against C&W. It expects the case to come to the High Court in 2008.
C&W said it believed the legal action was a 'deliberate spoiling tactic'.
