Pakistan’s telecommunication companies have jointly criticized the Federal Board of Revenue (FBR)’s decision to block SIMs of non-filers, lamenting it was made in undue haste and risks inviting litigation against them by the affected.
In a letter addressed to the Ministry of I.T. and Pakistan Telecommunication Authority (PTA), the companies have noted that the FBR’s Income Tax General Order (ITGO), seeking cessation of services for 506,671 non-filers, runs contrary to their obligation to provide uninterrupted services to consumers. It noted that there were no circumstances mentioned in the Telecommunications Act allowing them to disconnect or block the service of any customer.
“The ITGO being forced through with undue haste will adversely impact the customers,” read the letter, stressing it would impact their ability to avail essential services, which various court judgments have defined as a fundamental right. Additionally, it said, Consumer Protection Regulations require operators to issue warnings prior to blocking of any SIMs, which was not possible because of “legal defects” of the FBR order.
Rather than mass blocking SIMs, the letter suggests, non-filers should be sanctioned and penalized directly involving the telecommunication industry. Further, it states, any individuals facing sanction under the order should be issued show-cause notices, allowing them to defend themselves in a court of law.
The letter also notes that compliance with the order risks attracting litigation against the companies by the affected. “The affected individual may even seek to recover special costs, damages and losses that he/she has incurred because of SIM card being blocked,” it said, describing as “unjust, unreasonable, and unacceptable” for the companies to face such risk.
The letter noted that telecommunication companies were among the largest contributors to tax revenue, adding if the FBR order must be implemented, legal amendments should be introduced to prevent any adverse consequences for them.
Apart from the legal issues, the letter also states that mass blocking of SIMs would cause technical issues, as the companies require the development of internal processes and system development for which they have not been provided sufficient time and resources.