Maltacom daily fine accumulated to Lm53,000

As a court has dismissed a request by Maltacom plc to order the Malta Communications Authority not to impose fines pending a final decision on a constitutional application Maltacom filed against the authority, the daily fine against Maltacom has now reached Lm53,000.

The fine was imposed by the Malta Communications Authority for Maltacom's refusal to provide certain services to Vodafone.

The fine is of Lm1,000 a day and started to run on January 14.

Maltacom decided not to provide some services to Vodafone after filing court proceedings against the rival mobile phone operator last October to recover Lm483,000 it claims it is owed for the provision of signalling services since January, 2000.

Industry sources said that the Telecommunications Appeals Board yesterday advised the MCA not to sue Maltacom for the liquidation of the fines. "The advice was to allow the board to go through the case and make its decision before any legal action is taken to liquidate the fine. However, the daily fine of Lm1,000 against Maltacom is still in effect."

The sources said that two sittings have already been heard by the Telecoms Appeals Board. "Submissions have already been made by both sides and the board is actively tackling the case. But it is difficult to predict how long the hearing will take."

Maltacom is still providing signalling services to Vodafone, but according to the regulator it is denying the provision of a leased line between Vodafone Malta and Swisscom and an additional signalling link between Vodafone's switch and Maltacom's Birkirkara switch.

The authority argues that while Maltacom should not be required to provide a service for which it was not being paid, it could not just stop providing additional services to Vodafone.

Last Thursday, the Civil Court dismissed Maltacom's request to order MCA not to impose fines pending a final decision on its constitutional application. Maltacom is contesting an MCA decision ordering it to provide Vodafone Malta Limited with new services or pay a penalty of Lm1,000 a day in default.

Meanwhile it filed a second application, requesting the court to stop the authority from imposing any penalty upon it until the proceedings were completed.

But MCA called on the court to dismiss Maltacom's request, saying another court had also dismissed Maltacom's application for a warrant of prohibitory injunction against the authority.

The authority added that Maltacom's constitutional application was its third attempt at preventing it from delivering a decision about the imposition of an administrative fine.

MCA declared that Maltacom had not exhausted its remedies in terms of the ordinary law of the land, for the company could contest the authority's decision before the Telecommunications Appeals Board and, subsequently, on a point of law before the Court of Appeal.