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The Lesotho Communications Authority (LCA) has revoked Vodacom Lesotho’s unified license, the organization announced in a notice issued on October 8, 2020.
He said that this action was taken because Vodacom did not pay a fine equivalent to R134 million for violating local legislation and the conditions of its operating license in the region.
“Vodacom Lesotho (Pty) Ltd Unified License revocation is hereby notified pursuant to section 47 (1) (e) of the Communications Act 2012, read with conditions 7 (c) and 8 of the terms of the License for breach of the directive to pay a fine of M40,200,000 before October 7, 2020 ”, stated the LCA.
The referenced legislation allows the LCA, among other options, to modify, suspend or revoke a licensee’s license if it is determined that they have violated the Communications Act or any regulation, rule, code or directive issued by the LCA .
Vodacom will challenge this revocation in Lesotho High Court, the company said in a statement.
“Vodacom Lesotho confirms that it has submitted an urgent request to the Lesotho High Court for the Lesotho Communications Authority (LCA) decisions to be reviewed and annulled, imposing a fine of a staggering $ 134 million for alleged infractions. of article 97 of the Companies Law of 2011 and certain conditions of its unified license ”, said Vodacom.
In the same request, Vodacom has challenged the legality of the LCA’s decision to revoke its unified license.
There is no other option but the court
“We had no choice but to seek redress in the courts because the LCA decisions imposing an excessive fine, as well as the revocation of Vodacom’s operating license, are wrong from the point of view of law and public policy” said Dr. Philip Amoateng from Vodacom Lesotho.
“The LCA, unfortunately, has violated its prescriptions and rules and our efforts to find an amicable solution to the dispute have been completely blank.”
“Given the hostility displayed by the LCA towards Vodacom, our options are now limited to seeking redress in court to avoid further damage to our brand, reputation and the interests of stakeholders, including our customers, shareholders and employees,” he said. .
Vodacom said that in addition to its investment in network infrastructure and corporate growth, it has also made significant contributions to the Lesotho community.
“Vodacom has spent M85 million since 2016 on corporate social investment, contributing to better healthcare, greater digital skills through initiatives such as ‘Code like a girl’ and supported job creation through incubation of local small businesses, among others, “he said.
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