Sale of ZAMTEL hits a legal obstacle: CAZ responds

The Communication Authority have responded to Mr. Kavindele’s statement over the issue of spectrum licensing. CAZ seems to think that the injunction applied only to issues pertaining to the fourth mobile phone license. However, reading the text published in the POST yesterday, the injuction was wider than most expected.

According to the ex parte order for interlocutory injunction granted to Vodacom Zambia by judge Musonda on October 3, 2008, CAZ had been restrained further publishing any invitation to tender or grant any mobile licence whatsoever kind to any national mobile cellular operator for Zambia or any related cellular technology whether it be via broadband, WiMAX, data, Spectrum allocation in any available frequency, 2G, 3G, 3.5G, 4G, GSM, CDMA, mobile data, Wi-Fi, Cable, DSL, Hotsport, Voice Over Internet Protocol and Internet Protocol Television (IPTV).

Either the lawyers at CAZ were having an off day when the legal arguments were being made or Mr. Kavindele has misinterpreted the injuction. On way or another, we need the CAZ legal department to come out with a clear statement of facts before the whole sector is disrupted. GRZ could have avoided this mess had they left the CAZ to award the license to Vodacom. The whole process was hijacked by politicians who saw an apportunity to mae a quick buck as usual.

Here is the CAZ’s response….

The Communications Authority of Zambia (CAZ) yesterday said former Republican vice-president Enoch Kavindele’s interpretation of the injunction granted to him over the registration of a fourth mobile phone company will affect national security.

On Sunday, Kavindele - who is Vodacom Zambia Limited chairman - said government’s intended sale of 75 per cent shares in Zamtel to an equity partner as announced by President Rupiah Banda will not take place as doing so would be illegal. Kavindele also threatened to commence contempt of court proceedings against Zain Zambia Plc over the third generation (3G) license awarded to the company as announced last week.

But CAZ public relations and consumer affairs acting director Ngabo Nankonde yesterday said they did not understand Kavindele’s intention because the matter at hand was the fourth mobile license which had nothing to do with other licenses and spectrum that were not fourth mobile related. “In view of the above, Mr. Kavindele’s interpretation would have adverse effect on not only the economy but also the social and security aspect of the nation,” Nankonde said.

“Mr. Kavindele seems to suggest that the injunction granted to him restrains the Authority from issuing or renewing any licenses [including radio spectrum licences] as well as those which are not fourth mobile related until discharge of the said injunction. The above interpretation would also among other things affect, telephone communication, internet banking via the mobile phone leading to stagnation of the national economy and retardation of national development.”

Nankonde said the authorisation for the Zain Zambia Limited trial tests was not in contravention of the injunction granted to Kavindele. She said that the authorisation given to Zain was issued long before the said injunction. Nankonde said that in line with the powers conferred on it in section 6(1) (4) of the Radiocommunications Act, it issued a test authorisation to Zain to conduct trials for 3G services in Zambia.

She explained that the authorisation issued was principally for the purposes of establishing among other things, the usability of the technology in Zambia, adding that the said trials would be conducted at no commercial value.
She also said the interpretation of the injunction on the licensing work of the Authority implied that in terms of broadcasting, the final migration of FM broadcasting band replanning would not take place.


The PANEL