Globacom risks shutdown of all offices over N1.3bn telecoms duct debt to FCDA

*The Federal Capital Development Authority, in Abuja, says since the commencement of full liberalisation of the telecommunications duct network in 2004 in Nigeria, Globacom (Glo) has never complied with the payment of the lease agreement

Alexander Davis | ConsumerConnect

Sequel to the telecoms company’s (Telco) reported failure to settle its indebtedness by making payments appropriate authorities after much persuasion, the Federal Capital Development Authority (FCDA) has threatened to seal off all offices of Globacom Nigeria Limited in Abuja, FCT, over N1.3billion telecommunications ‘duct debt’.

ConsumerConnect reports the FCDA has issued a seven-day ultimatum to the telecoms firm to comply with the payment or risk business and switch premises being shut down.

Hussein Monguno, Chairman of Finance and General Purpose Committee of the 7th FCDA Board, who disclosed this development to reporters during a visit to some of the telecommunications critical infrastructure in Abuja, said the measure was part of the efforts at recovering the over N7.8billion debt owed the FCDA by several telecommunications companies in FCT.

Monguno stated since the commencement of full liberalisation of the telecommunications duct network in 2004 in Nigeria, Globacom has never complied with the payment of the lease agreement.

He noted although other telecommunication companies had responded positively, Globacom Nigeria Limited has failed to show any commitment to settling the debt.

“When we were sworn in to this board, the minister found it necessary to constitute a committee for debt recovery.

“There are about 7.8 billion naira or thereabout debt, being owed to FCDA by different telecommunication companies, we wrote them a letter. We invited them to come and either accept or disagree with the billing system because FCDA has a very good billing system,” said Monguno.

The FCDA Board Chairman of Finance and General Purpose Committee further said:  “Some of them actually paid.

“As I speak now, MTN is actually on credit, and several others have paid, but the case of Glo is quite different. They have never responded and they are the highest debtors of N1.3 billion.

“FCDA has built this infrastructure to give them an enabling environment to operate. They have to reciprocate our effort by paying for the service.

“So, if they don’t pay the debt, we know what to do. They have signed an agreement, and the content of the agreement is very rich. We can do quite a lot, we can seal up this place and we can also disconnect them.

In regard to the negative impact the disconnection would cause consumers of Glo telecoms services, the Monguno declared that “subscribers can choose to go to other network. Why will you have a network that will not be able to pay their debt?”

In his comment on the issue with Globacom, Zaliha’u Ahmed, Executive Secretary of FCDA, also said that all efforts made at recovering the debt have failed, and every attempt to get Globacom Nigeria Limited to reason with the FCDA and make payments of their indebtedness has fallen on deaf ears.

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