Iraq’s Communications and Media Commission (CMC) has started legal proceedings to shut down Korek Telecom’s network in the country.
The plans have drawn a quick response from Korek, which is an Iraqi-Kurdish mobile phone operator, with the telco calling for Iraq’s PM to intervene.
It could cause disruption for Korek’s 7 million-strong customer base.
The CMC issued a statement on August 9, noting that it was taking legal and regulatory measures to shut down Korek’s network.
The regulator said it’s “placing a lien on its movable and immovable assets,” as it looks to enforce procedures to decommission all network components, devices and systems belonging to Korek.
It also urged Korek customers to keep hold of their SIM cards until a decision is made on what to do with Korek’s network assets. Subscribers were also told not to renew subscriptions, or top up any existing balances on their accounts.
Meanwhile, employees of Korek were told to “preserve all company property, protect its personal, financial and legal data and information, and refrain from disclosing, leaking, copying or circulating any data, information, documents or records related to the company without legal basis.”
Tower owners were also warned by the CMC to ensure the towers and the devices and equipment they contain are all preserved.
“The property owner bears full legal responsibility for any loss, tampering, damage, or material losses incurred,” noted the CMC.
“It also calls on them to cooperate with the authority and the competent security authorities in enforcing the law by not allowing employees of Korek company or one of the companies contracted to provide services to the same company to enter the towers or move, dismantle, or dispose of any of the devices or equipment in them, except with the proper approval of the authority, in a way that contributes to protecting public funds and ensuring the collection of rights and the implementation of the applicable decisions.”
Iraq’s CMC and Korek have squabbled before, notably in 2023 when the CMC ordered mobile operator Korek Telecom to pay $800 million to resolve an ongoing dispute over unpaid dues.
Kurdistani-based publication Rudaw reports that fees have since risen to $1.5 billion, consisting of licensing fees and other outstanding debts.
Korek has called the CMC’s plans “illegal,” noting that the regulator doesn’t have the authority to shut down its network.
“The head of the commission’s executive body does not possess the authority to cancel the settlement, as that settlement was approved by higher authorities and was not the result of a decision by the commission itself,” Korek said, while adding that it was seeking the intervention of the country’s PM, Ali al-Zaidi.
Founded in 2000, Korek serves all 18 Iraqi provinces, most notably the northern part of the country. The operator claims to have more than 7 million mobile subscribers.
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