Malawi Regulator Ordered to Compensate Mobile Network for License Cancellation
Published on: 1st May 2012
Note -- this news article is more than a year old.
Malawi's telecoms regulator, Macra has been ordered to make a payment of USD66 million to Malawi Mobile in compensation for cancelling its mobile license.
The court ordered payment was made after the regulator decided not to contest the claims being put forward by the former mobile network.
The mobile company had been asking for compensation for loss of expected profits between 2005 when its license was cancelled and 2017 when its license would have normally expired.
The regulator cancelled the license after it said that the company had not deployed its network within the allocated timeframe, but the mobile network disputed the wording of the license as requiring a rollout within 12 months of the network launch, not the license being granted.
As the network was never actually launched, it argued that it was not in breach of the license.
The company had asked for USD135 million in damaged, but the court settled on half.