Islamabad, Dec 30: The Islamabad High Court (IHC) has affirmed the Pakistan Telecommunication Authority’s (PTA) decision, requiring Zong, a prominent telecom operator, to reimburse over Rs 2 billion to its users. Justice Mian Gul Hassan Aurangzeb rejected Zong’s challenge against PTA’s directive, which demanded the return of funds collected as service and operational charges from April 26, 2019, to July 12, 2019.
The court highlighted that cellular operators, including Zong, charged customers Rs 10 on every Rs 100 prepaid card as service or administrative fees, a practice deemed illegal by the Supreme Court. The PTA has instructed Zong to refund Rs 2,028,038,584 to affected users through account balances without imposing any validity restrictions.
In a related development, Pakistan’s Telecom Operators Association expressed concerns over the significant taxes introduced in the 2024 budget. They warned that unresolved tax issues could deter foreign investments and lead to legal complications.
According to the association, two major telecom companies have already decided to exit Pakistan. The sector, which contributed PKR 340 billion in tax revenue last year, has attracted USD 15 billion in direct investment to date.
