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TTCL privatisation done in 'violations' of law: Tanzania govt

Press Trust of India  |  New Delhi 

The Tanzanian has said the privatisation of state-run Telecommunications Corporation to Celtel, which was ultimately acquired by Airtel, was done in "serious violations" of law, regulations and procedures. Also, said that it will negotiate on the matter with Airtel to "gain its right". Tanzania's office said the was convinced that the Telecommunications Corporation ( TTCL ) after privatisation will go to and was later transferred to Zain and then to Airtel in "serious violations of law, regulations and procedures". The statement was made by Tanzania's Minister of and Planning, Dr Philip Mpango, who on January 11, 2018 submitted a report of committee formed to investigate Airtel's ownership company to the John Pombe Joseph Magufuli. The owns 40 per cent share in Airtel and rest is owned by the Mpango said that the country has lost huge amount of money in the process and the will negotiate with Airtel so that can gain its right. Airtel ventured into market, including Tanzania, with USD 10.7 billion (or about Rs 48,000 crore) acquisition of Kuwait-based assets. When contacted, Airtel said the transactions involving the privatisation of TTCL were undertaken in the years 2001 and 2005 respectively, well before Airtel's acquisition of stake in that business in the year 2010. "Airtel's acquisition of the said 60 per cent shareholding in June 2010 was in full compliance with and following all approvals from the of Tanzania," the company's said. As per the records, the privatisation process as well as the subsequent sale of 60 per cent from to Zain had all the requisite approvals, the added. "All the relevant documents have been duly submitted to the authorities in the of We intend to work closely with the of and will take all steps necessary to resolve any doubts or concerns to the satisfaction of the and all of the other stakeholders, including our shareholders," Airtel said. The company added that it will take all steps to protect its businesses, employees, partners, and investments in Airtel

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, January 12 2018. 19:40 IST
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