26 October 2005
TEHRAN: The accord on implementation of the second cell phone operator project has been finalized between Irancell and South Africa's MTN Group, announced the managing director of Iran Electronic Industries (SA Iran) Ebrahim Mahmoudzadeh, reported ILNA.

He added that given the fact that MTN has fulfilled its obligations and accepted all terms of the agreement, the project is now in the process of implementation.

Mahmoudzadeh, who is also a member of Irancell's Board of Founders, referred to Turkcell's complaint against the Iranian consortium and said that it is a legal/administrative issue, and would not create any problem.

He noted that currently the two sides are in discussions about the technical aspects of the project and the design for the telecom network.

"All phases of implementation have been coordinated with Information and Communication Technology Ministry and we will supply SIM cards for 1.5 million rials to the market within nine months," he said.

He said that Irancell has named MTN as its foreign partner to ICT Ministry and MTN has provided a security bond for 300 million euros to the government.

Turkey's telecoms giant Turkcell, the winner of the project's tender, has apparently been expelled by the Iranian sides in the project for yet unknown reasons.

The company announced last week that it has lodged a complaint against the Iranian party with a court in Tehran.

Mohammad Mokhber, deputy head of Mostazafan Foundation, which holds a 15-percent stake in Irancell, said the consortium has severed ties with the Turkish side, stressing that its technical, financial and legal committees are now engaged in talks with MTN.

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© Iran Daily 2005