NCC Blames Delay in 9mobile Sales on Accumulated Debts

NCC Blames Delay in 9mobile Sales on Accumulated Debts

NCC Blames Delay in 9mobile Sales on Accumulated Debts

The Executive Vice Chairman of the Nigerian Communications Commission (NCC), Prof. Umar
Garba Danbatta, has explained that the delay in the conclusion of the sales of 9mobile, and the possible handover of the telecoms company to Teleology Holdings Limited, the preferred bidder was as a result of the acculturated debts owed by 9mobile, which he said must be fully paid before the company could be sold out to the preferred bidder.

According to him, 9mobile was indebted to the Commission at the tune of over N15 billion in Annual Operating Levy (AOL) fees and Numbering fees, which he said must be cleared according to NCC rule before approval would be given by NCC for the sale of 9mobile.

Danbatta said 9mobile had initially written the commission, asking for the transfer of the shares of Emerging Markets Telecommunications Services (EMTS), now trending as 9mobile, to United Capital Trustees, the receiver-manager and the legal representative of the 13 local banks that lent money to Etisalat, now trending as 9mobile.
He further explained that the NCC had told 9mobile that all the outstanding payment conditions must be met before its sales could be approved by the NCC.

He listed the conditions to include the payment of N50,000 administrative charge as well as all the accumulated debts of 9mobile.

9mobile, he said, was indebted to the Commission at the tune of N12 billion as AOL fees for 2016 and 2017; N1 billion for Numbering fees for a period of two years, as well as spectrum fees of N2.3 billion.

“It is a rule in NCC that all outstanding fees must be paid before NCC must grant approval for transfer of equity from one entity to another. We asked them to pay the fees in full or make part payment as a sign of commitment before any approval will be given. 9mobile however paid 50 per cent of the total of the over N15 billion it was owing and NCC wrote an initial letter of ‘No Objection’ for the approval of the transfer of shares of EMTS to United Capital, as requested by 9mobile,” Danbatta said.

He however, said there was another request from 9mobile, asking NCC to transfer the shares from United Capital to Teleology, but that NCC gave them another condition before such transfer would be effected.

The condition, according to him, is that 9mobile must show NCC a clear evidence of the registration of Teleology with the Corporate Affairs Commission (CAC), among other conditions like the conclusion of the due diligence evaluation on Teleology by the NCC, to find out the technical capabilities of Teleology to effectively handle 9mobile.