OT: International Arbitration Is to Save Djezzy

Orascom Telecom Company (OT) confirmed that it has all legislative options of solving the current dispute with Algerian government, regarding Orascom’s mobile unit “Djezzy”.

An official source inside Orascom said sorting to international courts is the clearest step in this period to find a solution of the conflict with Algerian government, as he mentioned that the company has appealed the court’s rulings of detaining the executive officer, which was considered as initial step of escalation.

The source told Amwal Al Ghad that Orascom and France Telecom are supporting their working team in the company against the arbitrary procedures conducted by the government, as these procedures aim at enforcing the company to abdicate “Djezzy” and nationalize the company.

Yasser Radwan – Orange’s Vice President- said that fines imposed by Algerian Government on Orascom’s unit –Djezzy- confirm its intention to leave its dispute with France Telecom unsolved, and he added that the Algerian Government has realized the extent of losses posted by the company, in case of selling Djezzy, thus the government has sorted to squeeze the company through fines, so as to enforce it to abdicate its unit.

Radwan also said that the Russian partner –Vimplecom- will not approve on abdicating Djezzy, especially after the negotiations executed during the acquisition deal, and he added that Vimplecom has confirmed on the necessity of solving problems between Orascom and the Algerian government.

To be mentioned that the Algerian court has issued an initial judgment against Djezzy, and one of its executive officers, as the court imposed 2 fines of 99 Billion Algerian Dinars, (1.3 billion dollar), and the ruling also indicated a criminal judgment against Orascom’s executive.