SC bars cellular companies from levying additional charges on postpaid customers
"If you buy Rs100 worth of credit, Rs25 are deducted. What are these service charges?"
ISLAMABAD: The Supreme Court of Pakistan on Tuesday barred cellular companies from levying additional charges on postpaid connections.
A three-member bench of the apex court was hearing the case. As the hearing went under way, the additional attorney general requested the court to grant more time to submit a response to the court.
Advocate General Ahmad Awais apprised the court that the Punjab government incurring a loss of Rs2 billion per month due to the additional charges. The Sindh advocate general added that the provincial government was also incurring a loss of Rs1 billion per month.
In response, the Chief Justice of Pakistan Mian Saqib Nisar said the court was aware of the losses incurred by the provinces. "If you stop charging commission, these losses can be reduced," he remarked. Justice Nisar further advised the provinces to curb corruption.
Further, the top judge criticised the excessive service charges billed to the consumer.
""If you buy Rs100 worth of credit, Rs25 are deducted. What are these service charges?" the top judge remarked.
"If a person buys bread would they not want to eat it," he added.
A lawyer representing the Federal Board of Revenue (FBR) apprised the bench that Rs25, deducted as service charges, are not given to the board. "The tax deducted on each call is received by the national exchequer," he said.
The federal and provincial governments requested the court to grant some time to submit their responses.