LDI companies: PTA directed to provide update on its efforts to recover Rs84bn

ISLAMABAD: The Long Distance International (LDI) companies owe the government around Rs84 billion, including Rs24 billion in principal amount and Rs60 billion in late payment surcharge, while Starlink’s launch in Pakistan faces a regulatory delay as its registration with Pakistan Space and Upper Atmosphere Research Commission/Board (PSARB) remains pending, delaying its application for the required licence from Pakistan Telecommunication Authority (PTA).

This was revealed by PTA officials while briefing the Senate Standing Committee on Information Technology and Telecom, chaired by Senator Palwasha Khan, here on Monday. The committee reviewed the issue of non-recovery of outstanding dues from LDI companies and was briefed on measures being taken to resolve the long-pending cases.

Discussing the prolonged pendency of LDI/FLL court cases, the committee expressed concern over delays, particularly in cases involving significant financial liabilities.

The chairperson directed PTA to submit a comprehensive report on all pending cases, including the total financial amount involved in each case.

The Ministry of IT and Telecom informed the committee that the chairman and members of the Telecom Tribunal had been appointed and the tribunal had commenced its operations. The tribunal has also been formally inaugurated.

According to the ministry, 20 cases involving LDI companies have been transferred to the Telecom Tribunal, which is expected to facilitate expeditious disposal of the long-pending disputes.

The committee was informed that the licences of the concerned LDI companies had expired, following which the Pakistan Telecommunication Authority (PTA), after hearings, issued orders in the cases.

However, the LDI companies have challenged the PTA orders before various judicial forums. A PTA member told the committee that 38 cases involving LDI companies are currently pending before courts. The authority has also written letters to the Attorney General of Pakistan regarding the cases and raised the matter before judicial forums.

Officials confirmed that 20 cases had been transferred to the newly established Telecom Tribunal.

The committee was informed that LDI companies owed Rs24 billion in outstanding principal dues, while another Rs60 billion was payable as late payment surcharge, taking the total amount to around Rs84 billion.

The Ministry of IT representative said establishment of the Telecom Tribunal would enable faster hearings and disposal of telecom-related disputes. However, companies would retain the right to approach the Supreme Court against a decision of the tribunal, the committee was informed.

The committee directed the relevant authorities to furnish a progress report on recovery of the outstanding dues and the status of cases at its next meeting.

PTA Chairman, while briefing the committee on the updated status of Starlink’s launch in Pakistan, said that several satellite internet companies were currently interested in entering the Pakistani market.

The committee sought details about the stage at which these companies’ launch processes stood and asked whether the regulatory framework was in place to allow satellite internet operators to commence services.

The PTA chairman informed the committee that PSARB was working on the regulatory framework for satellite-based services and that satellite internet companies would have to fulfil the prescribed requirements before obtaining licences.

According to the PTA’s written reply submitted to the committee, the Pakistan Space Activities Rules-2024 prescribe several requirements for satellite-based licensing, including registration with the Securities and Exchange Commission of Pakistan (SECP), registration with PSARB, fulfilment of national security requirements, and satellite licensing by PTA.

The PTA informed the committee that Starlink has already registered itself with SECP as Starlink Internet Services Pakistan (Pvt.) Ltd., a holding of Netherlands B.V. Starlink (SpaceX). However, its registration process with PSARB is still pending.

“Starlink shall apply for FSS (Fixed Satellite Service) licence after the requisite registration has been completed with PSARB,” the PTA stated. The development effectively means that Starlink cannot move to the final licensing stage with PTA until the required PSARB registration is completed.

The committee was informed that the growing interest of satellite internet companies reflected increasing demand for satellite-based connectivity in Pakistan, particularly for areas where conventional broadband infrastructure remains limited.

The PTA chairman said several satellite internet companies were interested in providing services in Pakistan, but their operations would have to comply with the regulatory and national security requirements prescribed under the applicable framework.

The committee members sought clarity on the timeline for completion of the regulatory process and asked the PTA to explain the status of other prospective satellite internet operators. The PTA maintained that satellite-based licensing was subject to the framework and requirements laid down under the Pakistan Space Activities Rules-2024.

The committee was also informed that registration with PSARB was a prerequisite, after which the concerned company could proceed with the application for the relevant PTA licence.

The committee directed/asked the relevant authorities to provide an updated position on the regulatory framework and the progress of satellite internet companies seeking to launch services in Pakistan.

The committee deferred consideration of the Starlink licensing issue after PTA informed members that no licence application from Starlink was currently pending before the authority. PTA further clarified that all Low Earth Orbit (LEO) satellite network operators are required to fulfil the conditions prescribed under the law before obtaining an operating licence. The committee was informed that the PTA licence pertains to operations and that there would be no impediment once all legal and regulatory requirements were fulfilled.

Copyright Business Recorder, 2026