CABLE & WIRELESS Jamaica (C&WJ) and new market player Gotel Telecommunications appear headed for a legal battle over the use of the former monopoly carrier's network to terminate incoming international telephone calls.
C&WJ moved yesterday to restrict Gotel, the first local domestic service provider to start competing in the Jamaican market, from allegedly using its network to terminate incoming international calls, saying the practice was illegal and has resulted in a loss in revenue of more than US$800,000 (about J$47 million) since January.
In a release, C&WJ said it has an interconnection agreement with Gotel but that did not allow the relatively new telecommunications provider to terminate incoming international calls on its network, or transit to other third party interconnected networks.
TERMINATION
However, Earl Anderson, Gotel's chief technical officer, responding to the statement, said the company knew nothing about C&WJ's termination of the incoming international calls in question. Furthermore, he said, Gotel had already asked the Office of Utilities Regulation (OUR) to bring the matter to arbitration.
C&WJ said it took the action "to curb the illegal activity as Gotel has ignored all requests to halt the practice, which has been ongoing since January of this year, and which has continued to the present despite the repeated attempts by C&W to have Gotel cease and desist from this conduct."
The release said C&WJ has estimated that to date it has lost more than US$800,000 because of the illegal activity. "This is compounded by the fact that where these illegal calls are transmitted to other mobile networks, C&WJ then has to make significant outpayments to these operators," the company said.
C&WJ said it has written to Gotel's parent company, Index Communications Network Limited, on several occasions, including April 29, pointing out the breach and the need to remedy it within 30 days, failing which C&WJ would exercise its right to terminate the interconnection agreement.
"C&WJ has maintained dialogue with Gotel throughout, encouraging them to comply, but they have failed to do so," the company said. "Consequently, Cable & Wireless sees that it has no alternative but to take action to restrict service to Gotel, without waiving the right to terminate (the) existing agreement."
INTERCONNECTION AGREEMENT
Despite the action, C&WJ said it remained willing to enter into the necessary interconnection agreement to facilitate international traffic once the existing breach was rectified and compensation was assured.
"Cable & Wireless remains committed to and fully supports the liberalisation of the telecoms sector, but is firm in its position that all players should adhere to relevant commercial agreements and the laws of Jamaica," the statement said.
