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Gov. resolute to open mobile phone market to competition

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  • Gov. resolute to open mobile phone market to competition

    ArmenPress
    June 30 2004

    GOVERNMENT RESOLUTE TO OPEN MOBILE PHONE COMMUNICATION MARKET TO
    COMPETITION, MINISTER SAYS

    YEREVAN, JUNE 30, ARMENPRESS: Armenian justice minister David
    Harutunian said June 29 that the government's decision to suspend
    changes to ArmenTel's operating license until September 29 "in order
    to facilitate the negotiation process with ArmenTel and its Greek
    owner OTE in a bid to resolve their long-running disputes," does not
    mean that the government has backpedaled from its plans to open
    Armenia's market of cell-phone and Internet services to competition.
    The announcement came after Harutunian's return from London where
    he negotiated last week with senior executives from ArmenTel and its
    parent company, the Hellenic Telecommunication Organization (OTE) to
    seek an out of court settlement of their dispute. "Government's plan
    to open the market for a second operator of mobile phone
    communication and Internet connection is not questioned and will not
    be questioned during the talks," Harutunian told reporters, adding
    that that will be the key condition of the talks..
    ArmenTel and OTE Greeks filed a lawsuit earlier this year against
    the Armenian government at the London International Court of
    Arbitration seeking hundreds of millions of US Dollars in
    compensation for damages they claim ArmenTel has sustained as a
    result of the government's failure to respect its commitments
    contained in 1998 purchase deal. The suit was filed following the
    government decision to revoke ArmenTel's 15-year exclusive rights to
    mobile phone communication and Armenia's Internet connection with the
    outside world that was to take effect on June 30.
    Harutunian said the government will not suspend its decision after
    September 29. "We have three months ahead to negotiate and try to
    settle our dispute, a span of time which I think is quite enough and
    if we fail to achieve an amicable settlement, the final decision will
    be made by the Arbitration Court," Harutunian said.
    Harutunian said the government and ArmenTel's new management
    managed to engage in "constructive" dialogue. "If we succeed in
    achieving a mutually acceptable decision the suits will be called
    back," he said. According to the minister, the government will do
    everything possible to prevent clashes between ArmenTel and a new
    operator of mobile phone communication.
    The minister said also that the government will demand that
    ArmenTel respect one of its commitments to provide rural communities
    with phone communication, lower prices for Internet connection and
    stop the practice of telephone conversations eavesdropping.
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