‘The company bench of the High Court heard the petitioner – China Development Bank – and Citycell that sought more time. The court granted an extension till September 4, 2016’The country’s oldest mobile operator got 18 days to repay its loan by September 4. The High Court yesterday granted the operator’s appeal. During this time if the operator can reach an agreement with the China Development Bank, it might get more time to repay its loan. Earlier, Bangladesh Telecommunication Regulatory Commission’s (BTRC) asked the operator to pay all its dues, including regulatory fees and fines worth TK477 crore by August 16. The regulator also ordered the operator to create an option for their subscribers to provide service through an alternative way, said the notice. Later, State Minister for Posts and Telecommunication Tarana Halim on last Tuesday approved 7 more days for the Citycell subscribers to switch to alternative cellphone operators. Earlier, BTRC Chief Dr Shahjahan Mahmood said: “The government will make its final decision about the fate of Citycell as to whether it would be shut or let to continue its services.” Shahjahan informed the journalists that the total number of Citycell subscribers is approximately 1,50,000 after the biometric RIM registration. According to BTRC, Citycell has not paid the second and third instalments of the renewal fees of Tk229 crore for 8.82 megahertz spectrum since spectrum renewal in 2012, which has breached the licencing terms. The other dues include Tk10 crore annual licence fees, Tk27.14 crore annual spectrum fees from 2013 to 2016, Tk27.84 crore revenue sharing from 2014 to 2016, Tk8.92 crore corporate social responsibility fund from 2011 to 2016 while Tk39.92 crore VAT and Tk13.5 crore late fees. Citycell parent company Pacific Bangladesh Telecom Limited got licence for telecom services in 1989. It is the only CDMA network operator in the country. It is currently owned by Singtel with 45% stake and the remaining 55% is owned by the Pacific Group and Far East Telecom. The employees of the defaulter mobile phone operator raised seven-point demand including outstanding salaries and compensation for losing jobs. To press home the demands, they formed a human chain in front of Citycell office yesterday. Pacific Bangladesh Telecom Limited Employees Union president Ashraful Karim said: “All outstanding salaries, Eid bonus, LFA bonus, provident fund facilities, gratuity and full salaries of five years as compensation have to be paid by August 21.”
State Minister for Posts and Telecommunication Tarana Halim has already announced to get tough with the Citycell to realise its Tk477 crore dues.
“There is no doubt that the government would take a hard line on the collection of dues from Citycell. If need be, we will go for legal action which would be set as an example for others,” the minister said.
Despite her tough stance, lenders cannot feel assured that Citycell will pay its dues.
After the announcement, different vendors providing services for the cellphone company are still concerned to get back their dues.
Asking not be named, a software provider of Citycell told the Dhaka Tribune that for the last one year the operator did not pay any money.
Getting to know about the Citycell condition, software firms had stopped providing their services since January this year.
Meanwhile, Chinese Development Bank yesterday filed a case with the High Court bench against Citycell to realise its dues worth $36.6 million.
“The company bench of the High Court heard the petitioner – China Development Bank – and Citycell that sought more time. The court granted an extension till September 4, 2016,” said Barrister Sayed Mahsib Hossain, a BTRC lawyer.
