The Pakistan Telecommunication Authority (PTA) has given Trax Logistics Trackers (Pvt) Ltd a final one-month deadline to begin complying with regulatory requirements for its Vehicle Tracking Services (VTS) licence, warning that failure to do so will result in the automatic termination of the licence issued nearly a decade ago.
In an enforcement order issued under Section 23 of the Pakistan Telecommunication (Re-organization) Act, 1996, the regulator directed the company to complete all formalities for obtaining a commencement certificate using local SIMs from PTA-licensed cellular mobile operators within one month.
The order states that if the company fails to meet the requirement within the stipulated period, its Vehicle Tracking Services licence, granted on January 7, 2016, “shall stand terminated”.
The action follows years of non-compliance by the company, which was awarded a non-exclusive licence to provide vehicle tracking services but failed to commence operations as required under telecom regulations.
Under the Pakistan Telecommunication Authority’s Class Licensing and Registration Regulations, licensees are required to start services within one year of receiving a licence and obtain a commencement certificate from the regulator before launching commercial operations.
According to the order, PTA first approached the company in October 2023, directing it to obtain a commencement certificate. However, the regulator said the company did not fulfil the requirement, prompting the issuance of a show-cause notice in December 2024.
In response, Trax Logistics informed PTA that it had completed all requirements except documentation related to the presence of a cloud server within Pakistan. The company later claimed that the issue had been resolved and requested the regulator to proceed with commencement clearance.
Following the company’s request, PTA conducted an inspection on May 15, 2025. The inspection uncovered several shortcomings that prevented the issuance of a commencement certificate.
According to the regulator, the company failed to demonstrate the functionality and performance of its tracking devices, did not provide an agreement with any local cellular mobile operator, lacked an established complaint management system, refused to allow PTA inspectors to verify device IMEI numbers and associated operators, and had not obtained approval for its code of commercial practice and standard service contract.
During a hearing held on July 23, 2025, company Chief Executive Officer Aziz Ur Rehman defended the business model, arguing that the tracking devices were intended primarily for cross-border cargo movement and relied on international roaming SIMs supplied through a global partner. He maintained that agreements with local operators were therefore unnecessary.
However, PTA rejected the argument, ruling that the licence authorises the company to provide services within Pakistan and therefore requires the use of local SIMs and arrangements with Pakistani cellular operators.
The authority observed that while the company’s business model focused on tracking containers and trucks involved in international trade, the licensed service itself falls within Pakistan’s regulatory jurisdiction and must comply with domestic telecom requirements.
