All writs of UTL dismissed, freed from possession of Information Highway Project Company after 7 and a half years
Kathmandu. The project of Madhya Pahari Information Highway, considered the backbone of the country's telecommunication and information technology, has been freed from the possession of United Telecom Limited (UTL) after seven years. After the Supreme Court dismissed the petition filed on behalf of the company on Tuesday Confinement conditionThe information highway project has been opened.
According to the Supreme Court, the case filed on behalf of UTL and Teleinfra Nepal Limited by the joint bench of Justice Prakashman Singh Raut and Abdul Aziz Muslim has been dismissed. In collaboration with the then leadership of Nepal Telecommunication Authority, UTL got the contract to build optical fiber backbone in Gandaki and Lumbini provinces under Madhya Pahari Lokmarg in Baisakh 2074.
The company was held hostage for seven and a half years under the guise of the court without constructing the project, which was awarded a subsidy contract worth two billion and one crore rupees. As per the contract, UTL sold the project to Teleinfra Nepal against the rules as it could not proceed with the project, which was supposed to be completed in two years.
In that case, there was collusion between the then chairman of the authority Digambar Jha and some employees. However, Tele Infra also did not work on the project.
Even after that, the company that did not proceed with the project was provided with an amount of 400 million peschi on the basis of the court's order.
While getting the contract, UTL presented a bank guarantee of Rs. But UTL released its bank guarantee on 13 Baisakh, 2075 and accepted the bank guarantee of Teleinfra, which was moved forward as a JV, and claimed an advance payment of 40 million two lakh rupees.
Accordingly, the authority released 40 million two lakh rupees as advance payment. Agents of UTL and Teleinfra have been digesting the state's interest of Rs 40 crore for almost five years.
Moreover, the authority decided to cancel the contract as there was no reason to complete the contract within the normal working time. The writ filed by United Telecom on May 27, 2076, was dismissed by the Supreme Court today.
Along with this, the process of refunding Rs 40 crore paid in advance by the authority for mobilization expenses will be started from the bank guarantee in Kumari Bank.
The work of laying optical fiber on the Gandaki-Lumbini section of the Central Pahari Highway was stalled due to court confusion. UTL and Teleinfra were engaged in the activity of stalling the project and on the contrary filing a case against the Ministry of Communication and Information Technology and the Nepal Telecommunication Authority.
Communication and Information Technology Minister Rekha Sharma has repeatedly requested the ministry to give priority to this issue. Correspondingly, after all the writs related to UTL have been dismissed, now the way to develop the Central Hills Information Highway is open.
Apart from this, UTL also went to the court against the procedure advanced by the authority for canceling the license due to non-payment of dues. UTL has been hesitating to pay the arrears saying that it has no ability to pay till then, citing that the Industries Department has applied for an increase in the Puji.
Also, in 2069, the Council of Ministers provided a concession to the company so that it could be paid in installments. But the company has paid only five out of eight installments.
After he did not pay the license renewal fee, frequency, royalty, RTDF and other dues, the authority proceeded with the license cancellation process. Against that decision, the court granted an interim order in favor of UTL. Even in that case, Tuesday's bench has given a final order saying to do according to the law.
Along with this, if the outstanding amount is not paid, the way has been opened for the authority to proceed with the license cancellation process of UTL.
Last updated: Jan 23, 2080 20:55
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