November 29, 2021 | Investopaper
Nepal Telecommunication Authority has revoked the operating license of Nepal Satellite Telecom, promoter of Hello Nepal. Ajay Raj Sumargi has a majority stake in the company.
A meeting of the NTA’s Board of Directors has decided to revoke the license given to Hello Nepal saying that the company has not paid the dues for a long time. The Board has stated that it has decided to revoke the license as per sub-section (3) of section 28 of the Telecommunications Act 2053. The company is yet to pay the arrears of frequency fee, royalty, amount to be deposited in rural telecommunication development fund, license renewal fee to NEA.
After not paying the due amount by Ashad’s end, the board meeting held on Karthik 5 had decided to ask Hello Nepal for information regarding the payment. As per the decision of the board, NTA had sought clarification from the company on Karthik 12 to respond within 15 days. In a reply on Karthik 22, Hello Nepal demanded additional time from the Council of Ministers to pay the stipulated amount.
As per the decision of the cabinet meeting, NTA had given the time to pay the arrears of Rs 1.38 billion in five years to Nepal Satellite Pvt. Ltd. Accordingly, the company has already paid the first installment of 215.1 million rupees as of Ashad’s end, 2077 BS. Similarly, the company was given time to pay Rs. 339.8 million by the second year (Ashad’s end 2078 BS), Rs 308.60 million by the third year, Rs 277.40 crores by the fourth year, and Rs 24.63 crores by the fifth year.
NTA has stated that it has decided to revoke the license as it is not possible to extend the time due to non-payment of dues within the stipulated time as per the decision of the cabinet meeting.