Kathmandu, May 16

Nepal Telecommunications Authority (NTA) has warned three domestic internet service providers (ISPs) that it would scrap their licences following their failure to deliver proper services.

Publishing a notice today, the telecommunication sector regulator warned Mega Broadcast Pvt Ltd of Dillibazar, Eastern Network Pvt Ltd of Naxal and Simple Media Network Pvt Ltd of Chakupat that it would revoke their licences if they fail to submit their annual financial reports and operation updates within the next 15 days.

NTA had published a similar notice on April 27 directing these ISPs to update their operational status at NTA within 15 days. Ther authority has given them a second chance and re-published the notice today as none of the three companies have approached NTA office with the necessary documents.

“These three ISPs have not submitted their annual financial reports since last two years and have also not paid the required taxes for the said period. This could mean that either these ISPs are defrauding NTA or are no more in operation,” said Min Prasad Aryal, spokesperson for NTA. “NTA will scrap their operational licences as per the Telecommunications Act, 1997, if these ISPs do not approach NTA with the required documents within next 15 days.”

There are 50 ISPs in operation in the country at present. As per the Telecommunications Act, 1997, ISPs are required to submit their annual financial report and operational status report to NTA every year. These ISPs also have to pay four per cent of their income as royalty to the government and contribute two per cent of their income to Rural Telecommunications Development Fund.