3G/4G Auction.” Huge Amount Will Go To The FCF,” Observed AG

IT Pakistan: - Despite the fact that the auction of cellular 3G and 4G licenses gave the government a shocking move over Rs111 billion Euros (1.12 billion dollars), the huge amount should be stationed was the focus of discussions before the Supreme Court Monday.
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Representing the federal government, the Attorney General Aslam Salman Butt claimed that the money belongs to the people of Pakistan and, therefore, will go to the Federal Consolidated Fund (FCF), and not a special purpose company called USF (Universal Service Fund) under a scheme meant only for telecommunications expansion in sub - served and remote areas of Pakistan. Dawn reported Tuesday.

"The process of distribution of money so earned shall be guided by the Constitution, rather than a system for equal distribution instead of just placing classified sites,” the AG stated, while citing the 2012 decision of the Supreme Court of India the same subject.
But Advocate Athar Minallah, representing Naya Tel, was of the view that the contribution of telecom companies should remain parked at USF and should not go into FCF.
A bench of three judges headed by Justice Jawwad S. Khawaja heard a petition of Khurram Shehzad Chughtai; technology expert information originally requested a direction for the auction of 3G spectrum and license in the telecommunications sector on an urgent basis.
At the last meeting of April 16, the court ordered her to keep the proceeds of 3G and 4G auctions FCF to settle the dispute over the custody of the funds CCL.
The series cropped up when the PML-N government has transferred Rs62 billion CCL on FCF from the ministry of informationtechnology.
During the trial, the court asked why such a huge amount should go to USF, instead of FCF, but then she was quick to respond saying, because the rules governing the use of MCM says so.
But then the court decided to resolve the dispute which started way back on May 17 of last year on the grounds that, since the issue of putting the auction proceeds were not before the court, should be taken anew each time the question arises if the government failed to provide funds for the development of cell expansion in remote areas.
We have been informed that there are sufficient funds available to meet the requirements of Section 33 B (2) of Pakistan Telecommunication Authority (Reorganization) Act, 1996, which calls for the use of funds, providing access to telecommunication services for people in UN served, under.
Served, rural and remote areas should be made and implemented by the federal government management USF, the court said, while dictating the order.
Since this is not a complaint or question before the court today justify resolve the issue, we do not consider it appropriate to decide this issue in the exercise of our jurisdiction under Article 184 (3) of the Constitution which deals with the application of fundamental rights.
However, the parties are free to invoke the jurisdiction of the Supreme Court, if they want to challenge the power of certain sections of the Act PTA, the court said.
“This means that the proceeds will go to the FCF», remarked AG when Dawn approached him to explain the series.
On Monday, PTA President Ismail Shah also appeared before the court and stated that services consumers will enjoy the activity so generated as a result of 3G and 4G auction was more than what the country will actually receive in advance of the terms of money after the sale.
He explained that two candidates have expressed their willingness to pay a deposit of 100 percent to get the license after the auction, while the other two have proposed paying 50pc in advance, while the rest of the balance through deferred payments in five years. Earlier cellular carriers used to pay money to leave in 15 years.

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