Multinet to contest PTA Suspension Order

Multinet Pakistan Limited, a regionally renowned data and voice communication provider, has strongly opposed actions taken by the Pakistan Telecommunication Authority (PTA) resulting in the suspension of its license, along with several other LDI operators, on the issue of Payment of Access Promotion Contribution (APC) for the Universal Service Fund (USF) Regime.
Industry analysts are of the opinion that the arbitrary decision has disturbed the services provided legally to its customers by LDI operators and may even affect foreign exchange earnings for the country. It is alleged that LDI operators have been intimidated to pay the APC despite heavy losses incurred due to the diversion of international calls traffic via illegal exchanges, a menace which the regulator has not been able to curb, resulting in loss of millions of dollars to the national exchequer.
The suspension is in reference to PTA’s Letter No. 02-03/2011/AP/PTA and enforcement order dated June 30, 2011 wherein PTA has purported to suspend Multinet’s LDI License No. LDI-13(9)-2005 dated November 29, 2005 and directed all operators to suspend Multinet’s incoming international traffic with immediate effect.
The company said in a statement, “Multinet will vigorously defend its rights and strongly feels the ‘Direction and the Enforcement Order’ have been passed by the PTA in blatant disregard and contempt of stay order issued by the Sindh High Court in Suit No. 1429 of 2010 (“Stay Orders”). We may mention that PTA has full knowledge of the Stay Orders which had been forwarded to PTA vide Multinet’s letter dated June 16, 2011.”
The company has initiated contempt of court proceedings against PTA and has obtained a further stay order from the Sindh High Court wherein the court has suspended enforcement of PTA’s order and directed PTA not to create any hindrance for the company in providing services as per its License.
In its statement, the company further said, “We will continue to update our valued clients who can rest assured Multinet shall remain fully operational and continue to the best of our ability to serve our clients.” The company has regretted any inconvenience caused and expressed its gratitude for the continued support of its valued clients.