The mobile phone operator Citycell may lose its operating licence as the telecom regulator is set to take tough action against the company over the non-payment of its outstanding dues, sources have said.
The regulator's move against the country's lone CDMA (Code division multiple access, a US technology) operator has come following the telephony firm's failure to pay its outstanding dues despite repeated reminders by the watchdog.
"We are considering taking action including cancellation of its spectrum allocation, in case of its failure to comply with the final notice that will expire on December 18, 2014," a top official at the regulator said preferring anonymity.
He told the FE that cancellation of the allotted spectrum will lead to the licence termination, bidding farewell to the company's operation in the country.
According to the executive, until November last, the mobile operator owed Bangladesh Telecommunication Regulatory Commission (BTRC) Tk 2.52 billion (252 crore).
"We served the final showcause notice to the operator in early December seeking its explanation over the dues within 15 days of receipt of the notice," the BTRC official said. They served showcause notices and reminders to the operator at least 5 times earlier, he added. Â
However, the CDMA operator failed to come up with the reply, the official said warning that this time the regulator was very serious about the defaulter company.
Admitting that frequent notices were issued from the regulator, the Head of Corporate Communications Affairs of the company Taslim Ahmed told the FE that they were working with the regulator sincerely to settle the issue. "We are sincere about paying the dues. However, it will take time," Mr Ahmed added.
Asked if they would seek more time to give explanation of the showcase notice, Mr Ahmed said still they have time in hand and they are hopeful of settling the issue within the stipulated time.  Â
The BTRC official said the 175th meeting of the regulator decided to start process of its licence cancellation as the operator is yet to come up with the reply to its showcause notice.
"As per the decision of 174th meeting held on November 17 last, the commission had served the final notice to the Citycell, but the company is yet come up with the reply," he said.
Among the five telephony firms, only Citycell is surviving with the lowest market share as its clientele dropped to 1.32 million until October last while total mobile subscribers of the six telecom operators reached 118.9 million.
The official said before cancellation of the licence, the regulator would ask the customers through media advertisement to shift their network to other mobile operators.
Besides, the telecom watchdog will take legal action to recover its long pending dues. "Usually, we lodge law suit with the police station against defiant firms under the Public Demand Recovery (PDR) Act-1913 to recover the due money," the BTRC official said.
Citycell is currently owned by Singtel of Singapore with a 45 per cent stake, the local Pacific Group holding 45 per cent stake, and Far East Telecom, a Hong Kong-based Japanese company, holding the remaining 10 per cent stake.
khairulislamdu@gmail.com
Citycell risks losing licence over non-payment of BTRC dues
Khairul Islam | Published: December 12, 2014 00:00:00 | Updated: November 30, 2024 06:01:00
Share if you like