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UTL Delaying Royalty Payment

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UTL Delaying Royalty Payment
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August 5: United Telecommunication Limited (UTL) has delayed royalty payment to Nepal Telecommunication Authority (NTA). UTL has delayed the royalty payment of fourth installment amounting Rs 204.1 million that UTL had to pay by the end of last FY. “UTL has not paid the outstanding royalty though it’s almost one month since the deadline,” says Min Prasad Aryal, Spokesperson of NTA.  “UTL has requested three months grace period citing the earthquake and border blockade,” he said, adding “NTA has not made any decision on the matter yet.” The telecommunication company is yet to pay Rs 1.21 billion royalty within next four years.

According to NTA, this is not the first time UTL has delayed the payment of outstanding royalty. The company has been delaying the royalty payment continuously since the past few years. UTL had also paid the third and second installment late. “NTA has been repeatedly informing the company for the payment of royalty,” said Purushottam Khanal, Director of NTA. “There are no rules to fine any company for the delay in royalty payment, he said, adding that in such circumstances, no immediate action could be taken.”

 

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