Callmate Telecom given six months to clear 50 percent dues

Pakistan Telecommunication Authority (PTA) has directed the Callmate Telecom Company Limited to clear half of Rs 132 million dues within six months otherwise its license will be terminated.
The total payable dues are Rs 132,996,701 against the company and the regulator has given it six months time, till September, 27 to pay 50 percent and submit a fresh undertaking that remaining will be paid in next six months.
The Authority served show cause notices to the Telecom Company directing its management who has taken over the company to make payment with a warning that its license will be suspended in case of failure to make payment.
This will follow the termination of licensee if the management failed to clear dues by October, 27 within one month of its suspension and will face legal action.
The Callmate was also directed to submit its comprehensive business plan within 30 days from April 27 and technical plan within 45 days from May 11. Previously, the Callmate was also fined Rs 5 million for overcharging on long distance and international calls by the PTA with directives to make payment within 30 days.
The PTA during tariff verification exercise made national and international long distance calls to a variety of destination and found that Callmate has been charging the customers on its pay cards.
The Authority in its determination said that Callmate Telips Telecom Limited, defaulted a payment of Rs 132,996,701 to the Authority on account of annual license fee and other charges for the last three years, from 2005 to 2007. The representatives of the company during the hearing before the PTA informed the regulator about negotiations with banks including Orix Bank and with Defence Housing Authority and added that they had reached an agreement with MyBank Limited.
They assured that the company will start making payments even before the expiry of six months and said the company has hired technical staff for LDI services and also has been in contact with PTCL for negotiations so that its lines could be restored.
The total payable dues of the licensee were reconciled/calculated on the basis of the licensee's annual published accounts provided by the licensee for the year 2005 to 2007. However, this amount does not include the payable dues on account of APC for USF, which is pending before the Authority, and for which separate determination will be issued by the Authority.