PTA Rejects Installment Proposal for Recovery of Outstanding Dues from LDI Operators
A meeting of the Sub-Committee of the National Assembly Standing Committee on Information Technology was held under the chairmanship of Umair Khan Niazi, focusing on two key issues: the recovery of outstanding dues from Long Distance and International (LDI) telecom operators and the renewal of their licenses.
During the session, Chairman of the Pakistan Telecommunication Authority (PTA) emphasized that the authority lacks the mandate to permit installment-based payments of these dues. He shared that despite dozens of meetings with the defaulting LDI companies, their stances on dues varied widely. PTA has already issued formal letters to these companies, directing them to clear all outstanding amounts, including late payment surcharges.
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LDI representatives presented a proposal to pay the principal amounts in installments and offered post-dated cheques as a commitment. However, PTA insisted that not only must the full dues be paid, but late payment charges must also be deposited into an escrow account, in line with original license agreements. The PTA Chairman disclosed that five LDI companies continue to resist payment of Rs. 15 billion in principal dues.
Further complicating the matter, LDI firms expressed dissatisfaction with the lack of clarity in government policies related to license renewal, urging the authorities to establish a consistent framework. Secretary IT acknowledged the complexity of the issue, stating that the outcome could have broader implications for other sectors with similar dues disputes.
Given the deadlock between PTA and the LDI operators, the Sub-Committee decided to seek legal guidance from the Ministry of Law to determine a viable recovery mechanism. Chairman Umair Khan Niazi also instructed authorities to engage the Attorney General to speed up ongoing spectrum-related court cases, ensuring an effective legal follow-up and timely resolution.
The meeting was attended by the Secretary IT, Special Secretary IT, Chairman PTA, and other relevant government and regulatory officials.
