PTA Suspends 5 LDI Licenses After Winning Court Cases

The Islamabad High Court has dismissed, with costs, writ petitions and appeals filed by LDI operators against the Pakistan Telecommunication Authority and Government of Pakistan (Ministry of Information Technology & Telecom) on the issue of Payment of Access Promotion Contribution (APC) for the Universal Service Fund (USF) Regime, said a press statement issued by telecom regulator.

In the said Writ Petitions the LDI Operators had challenged the constitutionality and legality of the APC Regime as well as the Enforcement orders and Show Cause Notices issued by PTA.

The LDI operators in their petitions had prayed for a declaration to the effect that the Access Promotion Rules, 2004 issued by Government of Pakistan are ultra vires and that all the demands raised and money received by the Federation of Pakistan and PTA in respect of APC including APCL , APC for USF and Research and Development Fund were raised and being received without lawful authority and having no legal effect.

The Islamabad High Court, after hearing the arguments of both petitioners and respondents in detail, has declared that the points and issues raised in the petitions are not maintainable and accordingly dismissed the writ petitions, with cost.

The LDI Operators whose petitions and appeals have been dismissed through the said orders include:

  • Dancom,
  • Wisecom,
  • 4B Gentle,
  • Redone,
  • World call,
  • Wateen Telecom
  • Multinet

A huge amount of APC for USF was stuck up due to the stay orders  obtained by these operators and pending litigation, which are now payable and PTA has issued necessary orders and instructions for recovery of these amounts in compliance of the court orders.

PTA has also suspended the licenses of World Call, Multinet, Red Tone, Wise Com and 4B Gentle with immediate effect which were earlier stayed by Courts.

Tech reporter with over 10 years of experience, founder of ProPakistani.PK


  • Nauman Afzal

    way to go PTA

  • Asad

    hmmmmmmmmm…. What will be its effect on Wateen Telecom???

  • zero321.com

    I think one Company above is “Redtone” not “Redone”

  • zulfiqar Esani

    all of them have to pay million of dollars against Apc which was not being paid due to stay

  • dare2liv

    these LDIs were minting millions of dollars every month causing huge loss to the government of pakistan. i hope the money can be recovered

  • dare2liv

    with all the corruption i dont think they will pay a single penny. each of these LDIs are atleast making one million dollar a day!!

  • Roger

    They all should pay with interest on the amount they have been holding for so long.
    Pakistan need financial resources to overcome its problems.

  • Shahid Saleem

    Hah I looked at shares. Major activity for Wateen: someone sold over 50,000 shares this morning (most trades for past three days were under 1,000 shares bought or sold).

    World call was strange, yesterday at 2pm someone bought 175,000 shares and raised stock price by Rs 0.14. Today price is down again but it does not look like much selling.

    Overall both shares are at around Rs 2.04 right now. Very very low.

  • Dear Aamir sb – Could you also provide any source of this news as this is not appearing either on PTA’s website or on Islamabad High Court website. Also, has this news published in any news paper?

    Many thanks in advance for your response

  • Hedgefundbaby

    Our brokerage has Karachi to Lahore and Karachi to Islamabad connectivity with Multinet and Wateen. Will this be affected by this ruling also?

    • RBT

      As per my knowledge, Only Long distace International license suspended, its doesnt effect data com license, till than any company make complete defualt, Congratulation you are in safe zone.

      RBT

      • Gustakhi

        I am told the long distance infra of these cos has been laid on basis of LDI license thus they are technically suspended as well.

  • curious

    what does this mean in practical terms for end users and prices of termination for pakistan?

    • RBT

      I am really superized 1 sinner still in heaven :)

  • Russell

    We received letter from Team Multinet that there is nothing to worry about.

  • RBT

    Yes nothing to worry new rate will be out today midnight, remaining LDI plans to take advantage of current market position.

  • saleem janjua

    LDI redtone is secretly partly owned by a GENERAL. his relative sits in their isb office digused as a manager. minting millions of dollars which are payable to Government of Pakistan these corrupt general are parasites, no wonder we can’t defeat 200 taliban…lol

    REVOLUTION PLEASE

    [Comment Edited]

    • RBT

      Saleem sb, you unveil big secret can you we have name of manager sb.

  • revolution my neck

    multinet obtains stay…long live the defaulters and their protectors

  • moony

    rajan, can you provide any proof of redtone fuards ? or this is ur version only.

    • admin

      Sorry for the comments – they got slipped through (deleted now). We try to refrain from allegations against individuals by anonymous commenters.

  • RBT

    Can some body update how much is due per company.

  • Ali_Pakistan

    HI

    Still the LDI has chance to go Supreme court.

    Also they can negotiate with PTA for making payment but in Installment!

    Still Voice business has money. All are big companies like Wateen, WC, Multinet & RedTone. Lets see how it goes.

  • TBD Lines

    PTA must not suspend the services of all these. he must go in court for recovery… Hence unemployement will be faced..

  • Malik saleem

    pta ko court say payament kay liay rabta karay. es main peoples ka kia qasoor ahae. peoples nay tou en companies ki product per million main investment ki hae es awam ka loss ho ga

  • RBT

    Multinet and redtone got stay and submit to PTA today, May be they are restore in some time today.

  • TrueUser

    Suspension revoked by PTA… Thanks to SHC :)…

  • JhootToNabolo

    I am not understanding this. The honorable sindh high court gave a stay, then why did these LDI companies go to Islamabad court?

    If the Islamabad court vacated stay, how does the Sindh high court stay remain?

    All very confusing. Maybe some laywer can explain.

    I am happy Multinet and Wateen our service provider have stay removed. Thank God. Otherwise we would have to switch.

  • RBT

    AOA ALL, ANYBODY HAVE ANYUPDATE ON TODAY HIRING PLEASE UPDATE.

  • MR

    where is supernet , cybernet in above list.