Cellular firms restrained from charging surplus amounts on postpaid connections

ISLAMABAD: Cellular companies were barred by the Supreme Court of Pakistan on Tuesday from imposing surplus charges on postpaid connections in the country.

Amidst the hearing under a three-member bench at the apex court, the additional attorney general sought more time to present a response before the court.

The court was told by Advocate General Ahmad Awais about the monthly loss of Rs2 billion suffered by the Punjab government owing to the added charges taxed by the cellular companies.

It was also added by the Sindh advocate general the provincial administration was also at a monthly loss of Rs1 billion.

Chief Justice Saqib Nisar responded to the statements saying the court is mindful of the losses suffered by the provinces adding that “If you stop charging commission, these losses can be reduced."

Moreover the CJP also urged the provincial authorities to curtail corruption.

He also condemned the surplus charges by the cellular companies stating: "If you buy Rs100 worth of credit, Rs25 are deducted. What are these service charges?"

"If a person buys bread would they not want to eat it," he stated further.

The bench was further informed by a Federal Board of Revenue (FBR) lawyer that Rs25 of the debited charges are not given to the body adding that: "The tax deducted on each call is received by the national exchequer."

The court was requested by the federal and provincial governments for additional time to present their responses.