Regulators deny graft claims
2006-11-06 15:33
Nairobi - Kenyan telecommunications regulator denied claims on Monday by a South African firm that official corruption had delayed the planned start-up of the country's third cellphone network.
State-run Communication Commission of Kenya (CCK) said Econet Wireless had not fully paid up its licence fee as required by the law before starting up operations.
Last week, Econet chief Zachary Wazara said graft among government officials was to blame for the delay.
"The issue of bribery as mentioned by Mr Wazara has no bearing on the licence process and the commission is independent and would not be influenced in a manner construed in that allegation," CCK chief John Waweru said a paid-up newspaper advertisement.
Waweru said the firm had paid up a licence fee of $15m and there was an outstanding fee of $12m.
"The mission has not demanded payment of the balance due to the litany of lawsuits that have surrounded this matter in the last two years," he added.
Lawsuit seeking millions in damages
On Friday, Wazara said graft had delayed its operations and gave CCK a three-day notice to release frequency and network codes or face a lawsuit seeking millions in damages.
CCK urged the firm, whose licence was granted in November 2004, but later withdrawn, to report its complaints to Kenya anti-corruption commission.
Econet said it has invested a total of about $75m for the project in Kenya.
In addition, it has complained about the speed with which Kenyan authorities awarded a license for a second landline operator (SNO) last week, saying Econet would seek a court injunction to block it unless its own license is restored.
- SAPA