The Kenyan High Court has dismissed the application by mobile telecommunications company Econet Wireless Kenya to seek an injunction against the granting of a second national operator (SNO) licence to the Dubai-based VTel telecommunications consortium.
Econet has instructed its lawyers to appeal against the decision, as well as seek an injunction to restrain the Communication Commission of Kenya (CCK) from issuing the SNO licence, according to an Econet statement.
Econet lawyers have already initiated the appeals process by lodging a notice of appeal, as well as a request for proceedings, the statement adds.
"We do not know when the next court proceeding will take place," says Econet spokesman, Sure Kamhunga.
The court case follows CCK, Kenya's telecommunications regulator, awarding VTel a unified SNO licence in October 2006, for an estimated $169.7 million.
The licence allows VTel to operate a fixed-line network, a mobile phone network and Internet services.
Econet Wireless International has asked for a court injunction to block VTel's licence, noting that the CCK had delayed providing Econet with transmission frequencies and network codes, says Kamhunga.
Econet argues it has not been provided with network frequencies and codes by the CCK to enable it to roll-out its network, despite being awarded a licence as the third mobile phone operator in November 2004.
According to Kenyan newspapers, the CCK says since Econet won the tender to operate as the third mobile operator, it has been unable to meet the requirements for the award of the licence.
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