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Pakistan’s long-running telecom dues dispute deepened this week as the government panel failed to reach a decision on billions owed by Long Distance International (LDI) operators. The Pakistan Telecommunication Authority (PTA) has now forwarded all settlement proposals to the Ministry of Information Technology and Telecommunication (MoITT) in a renewed effort to resolve the years-long stalemate over Access Promotion Contribution (APC) and Universal Service Fund (USF) payments.
Sub-Committee Meeting Fails to Reach Consensus
An in-camera meeting of the National Assembly Sub-Committee on IT and Telecom, chaired by Zulfiqar Ali, was held to address massive outstanding dues amounting to over Rs 72 billion owed by LDI companies.
The confidential session, requested by officials of the Ministry of Law and Justice, aimed to explore mechanisms for settling the prolonged payment disputes. However, despite extensive deliberations, the sub-committee could not reach a consensus.
Sources suggested that the absence of Federal IT Minister Shaza Fatima Khawaja contributed to the lack of a final decision. Officials from the Law Ministry and the Additional Attorney General briefed the members on pending court cases, explaining the legal constraints that continue to delay recovery efforts.
PTA Submits Settlement Proposals to IT Ministry
According to official communication, the PTA has submitted detailed summaries of settlement proposals from all LDI licensees to the MoITT. The initiative follows the directive of the National Assembly’s Sub-Committee, which urged a unified resolution of the dispute involving both license renewals and unpaid APC-for-USF dues.
PTA reported that five major operators Telecard, WorldCall, Wise Communication, Multinet, and 4B Gentel have conditionally agreed to pay their principal dues through escrow accounts or structured installment plans.
Companies Willing to Pay Principal Dues
- Telecard proposed to deposit Rs.10 million monthly for 72 months into an escrow account maintained jointly with PTA.
- WorldCall offered to pay the remaining dues in 60 quarterly installments, disputing any Late Payment Additional Fee (LPAF).
- Wise Communication Systems agreed to clear Rs.385 million in 72 installments, arguing that the LPAF imposed in 2016 cannot apply retroactively to older disputes.
- 4B Gentel accepted to pay Rs.514 million in 45 monthly installments, even offering post-dated cheques as proof of commitment.
- Multinet proposed a comprehensive out-of-court settlement, including mutual withdrawal of ongoing cases and closure of all related disputes.
Meanwhile, Circlenet, Dancom, and REDtone Telecom rejected PTA’s calculations, insisting the matter should be settled in court. They argued that the PTA’s methodology violated APC Rules and Auditor General of Pakistan (AGP) audit findings.
Legal Context and Pending Litigation
PTA highlighted that all APC-for-USF dues are payable directly to the Ministry of IT, not the PTA itself. The authority referred to the MoITT’s earlier letter (Jan 28, 2025), which supported facilitating LDI license renewals contingent on dues settlement.
It also cited the Sindh High Court’s November 2024 order, under which PTA issued final decisions on APC and renewal cases in July 2025. These cases are now under litigation.
PTA confirmed that Wateen Telecom has already reached a partial settlement paying its principal dues while contesting the LPAF component, a proposal accepted by PTA and currently pending court review.
Call for Telecom Tribunal and Faster Legal Resolution
Committee members urged the government to expedite court proceedings and establish a dedicated Telecom Tribunal to resolve such disputes efficiently. The Ministry of Law has been tasked with finalizing the appointment of the tribunal’s chairman and members to accelerate the process.
“These long-standing cases have created uncertainty in the telecom sector. A specialized tribunal could ensure quicker, transparent resolutions,” one committee member remarked.
The Rs 72 billion LDI dues saga, spanning over a decade, continues to test Pakistan’s regulatory and judicial systems. With PTA pushing for structured settlements and several operators showing willingness to cooperate, the final decision now hinges on the federal government and the Ministry of Law’s timely action.
