TIP Urges Recovery of PTCL Etisalat Dues

TIP urges govt to recover $800m Etisalat dues linked to PTCL privatisation, saying liability has grown to $6bn.

$800 million from Etisalat linked to the 2005 privatisation of Pakistan Telecommunication Company Limited (PTCL), warning that the liability has increased to nearly $6 billion over time.

In a letter addressed to the Adviser to the Prime Minister on Privatisation, Muhammad Ali, the organisation called on authorities to direct the Pakistan Telecommunication Authority (PTA) to initiate recovery proceedings.

According to TIP, the issue dates back to 2005 and was previously raised before the Supreme Court in 2011, when the outstanding amount was estimated at $1.6 billion. The organisation said the amount has grown significantly due to prolonged delays in settlement.

TIP also highlighted an estimated loss of a 2 per cent penalty, which it said amounts to around $1.5 billion over seven years, in addition to the unpaid $800 million from the original privatisation deal.

The matter was also discussed earlier this year during a meeting in Dubai involving Deputy Prime Minister Ishaq Dar and senior officials from Abu Dhabi, including representatives associated with Etisalat.

The organisation has called for an immediate review of the case and recovery of the accumulated dues.