Zong spectrum misuse report has revealed that M/s CM Pak (Zong) continued to use illegal temporary additional spectrum even after the expiry of its 2G (GSM) license in October 2019. The misuse has caused a financial impact of Rs53.5 billion, according to the audit findings.
The report stated that Zong used the temporary additional spectrum beyond the permitted border areas of Punjab and Sindh. And even for LTE (4G) services, which violated the terms of its 2G license. Despite Pakistan Telecommunication Authority (PTA) issuing an enforcement order in December 2020, directing Zong to vacate the frequency. And make payments for illegal use, no recovery was made.
According to PTA’s calculation, Rs18.04 billion should have been recovered from Zong for the illegal use of spectrum from October 2019 to October 2024. However, despite the Islamabad High Court dismissing Zong’s petitions, the operator continued to use the spectrum. As the matter was later taken to the Supreme Court of Pakistan.
The Zong spectrum misuse report further highlights that the Frequency Allocation Board (FAB). And PTA failed to enforce their directives, causing heavy losses to the national exchequer. Previous audit reports in 2015-16, 2017-18, and 2019-20 had also raised the same concern, making this recurrence a serious issue.
In response, Zong claimed that it was forced to continue using additional spectrum due to cross-border interference from Indian CDMA signals, which affected its 900 MHz network. The case is still pending before the Supreme Court, leaving the matter unresolved.
