Mfone’s Licence Revoked; Staff Terminated

The Ministry of Post and Telecommunications has revoked the operating licence of bankrupt phone operator Mfone, which went out of business two months ago, while more than 1,000 employees had their jobs officially terminated yesterday. The revocation of the licence and the mass dismissal of the staff helped clear the way for the government-appointed administrator, Ouk Ry, to dissolve the company’s assets and repay some of the company’s debts, which are believed to top $160 million. … A copy of the TRC notice, obtained yesterday, also states that Mfone owes the Ministry of Post and Telecommunications $743,332. … Nim Solyda, a former engineering supervisor at Mfone and the employee’s representative, said the employees had filed a claim earlier this month for about $4.4 million in compensation for 1,092 workers. “The Labor Law states that even though the company is bankrupt, they must still pay compensation,” he said. … Two of Mfone’s largest creditors are Chinese telecommunications firm Huawei Technologies and Norwegian Company Elteck, who claim a total of $68.73 million in debts from Mfone. The Phnom Penh Municipal Court had issued injunctions on behalf of both companies, and on Monday, the two firms discussed dropping their injunctions in order to allow Mr. Ry, the administrator, to dispose of Mfone’s assets quickly in order to pay off the company’s debts. …

http://www.cambodiadaily.com/business/mfones-license-revoked-staff-terminated-16474/