SPTC’S ONE CONNECTIONS SUSPENDED

June 15, 2010 · Posted in Uncategorized 

SPTC has suspended any further connections onto the fixed wireless network, popularly known as ‘ONE’ pending the resolution of issues in dispute. This was communicated through a joint notice by MTN and SPTC later on Friday. In fact, an order of the High Court issued by Justice Stanley Maphalala further compels SPTC not to market their new product until the matter has been settled by arbitration within a two-week period. “The boards of SPTC and Swazi MTN Limited wish to notify their stakeholders that the parties have reached an out of court settlement in respect of the interim relief court application lodged by the Swazi MTN and others have withdrawn the court action and SPTC temporarily suspended any further connections onto the fixed wireless network pending resolution of the issues in dispute,” read the joint public statement. Phanuel Vilakati, SPTC Acting Board Chairman, reiterated that the suspension would take a relatively short time because they agreed to return to the table to talk things over because that was where they should have started in the first place. He said when they agreed to settle the matter that way, certain conditions were put and one of these was the suspension of the connections onto the fixed wireless network until disputed issues were thrashed out. This follows a matter in which Swazi MTN Limited dropped its case against Swaziland Post and Telecommunications Limited (SPTC) at the High Court, where it was seeking a court interdict stopping the parastatal from providing communications networks. Both parties will now go for arbitration. This follows a deed of settlement signed by the parties, which was made an order of the High Court on Friday. The consent order was issued by Judge Bheki Maphalala. The deed settlement reads; * The Swazi MTN Limited (applicants) agrees to withdraw the proceedings against SPTC (respondent) on the terms and conditions. * Each party is to pay its own costs. * The parties will endeavour to resolve the dispute within a period of two weeks from the date of the agreement is made an order of court. * The respondent hereby undertakes that pending finalisation of arbitration proceedings to be submitted in terms of the joint venture agreement, it shall cease marketing and advertising the Fixed Wireless component of its NGN Network. * The respondent shall refrain from connecting new customers to its Fixed Wireless component of its NGN Network. * The respondent further undertakes to provide applicants an auditable system which will ensure that there are no additional connections from date of this agreement. * None of the parties shall be entitled to any public announcement or statement regarding the agreement, the dispute between them and any issue which is a subject of the court proceedings without the prior consent of the other party before making such public announcement or statement. * Should any party breach the provisions of the agreement, all of which are material, the aggrieved party shall in addition to any other rights it may have in law, be entitled to enforce the provisions of the Agreement as if it were a judgment of the court * The parties agree to make this an order of court, 4th June, 2010. Swazi MTN was represented by South Africa, Advocate Paul Kennedy, who is being instructed by attorney Mangaliso Magagula. Appearing for SPTC was Advocate Patrick Flynn, who was taking instructions from Mabandla Jacob Manzini. Swazi MTN Limited is the first applicant while MTN International (Proprietary) Limited is cited as a second applicant and Mobile Telephone Networks Holdings (Proprietary) Limited is the third applicant. Swazi Empowerment Limited is cited as a fourth applicant and SPTC is the respondent. In its opposing papers, SPTC says it has the exclusive privilege of providing telecommunication services. The corporation contends that in terms of the Section 59 (i) of the SPTC Act, it does not need a licence in providing such services. It claims to have the statutory power to issue a licence as the regulator of the communication services.

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