Airtel Malawi Slapped With $1.1 Million Fine
Airtel Malawi has been ordered to pay a $1.1 million fine for failing to sell 20 percent of the company’s shares to Malawian investors.
The Director-General of Malawi Communications Regulatory Authority (MACRA), Godfrey Itaye announced the news about the fine at a press briefing in Blantyre, Malawi, earlier this week.
Under the Communications Act of 2016 and the Telecommunications and Broadcasting Licensing Regulations which were introduced in 2016, it is a compulsory requirement for the providers of electronic communication services to have a minimum local shareholding of no less than 20 percent.
According to Itaye, in 2014, just after the renewal of its telecommunications license, Airtel had committed itself to ensure a minimum of 20 percent local shareholding in Malawi.
The mobile network operator had been given up to the 25th of November 2018 to comply with this fundamental requirement, but it failed. MACRA then issued a $679 000 fine to Airtel.
The regulatory body further issued a fine of $27 000 for every 14 days starting on November 2018 until July 2019.
Airtel Malawi has since coughed up a total of $1.1 million in fines.
MACRA warned that if the company remains in breach of its license conditions, it will continue to pay more money.
Credit: This article originated from www.malawi24.com