The Competition Commission ⁢of Pakistan (CCP) has successfully recovered Rs495 million (approximately⁤ $1.7 million⁣ USD as of‍ September 4, 2025) in penalties from‍ Long Distance International (LDI) ⁤operators related to the long-running International Clearing House (ICH) case. This follows a recent ⁢endorsement of the CCP’s⁢ original decision by ⁤the⁢ competition Appellate Tribunal.

The ICH Arrangement ‍and its Impact

The recovered funds include Rs458 million from Pakistan Telecommunication Company ⁢Ltd (PTCL) and Rs37 million from M/s‍ Link Dot Net. The case centers around the ICH, a system implemented in 2012 that ⁤routed all incoming⁢ international calls through a single gateway controlled by PTCL, effectively⁤ eliminating competition in⁢ the international call termination market.

This arrangement artificially ⁢inflated call termination rates to 8.8 cents per minute – more than four times the previous rate – significantly increasing costs for individuals⁤ making calls to ⁢Pakistan from⁤ abroad. Operators benefited from revenue ‍increases exceeding 300%, according to the CCP’s investigation.

Penalties and tribunal Ruling

Initially, ‍the CCP imposed ⁤penalties equivalent to 7.5% of each operator’s⁣ annual turnover. The Competition Appellate Tribunal afterward reduced these fines to 2% of revenues generated specifically from the‍ ICH arrangement. However,‍ the tribunal ⁣upheld the core finding that the ICH was anti-competitive⁤ and‍ unlawful, and ordered immediate deposit of the revised penalties within 30 days of the ruling.

CCP’s Commitment to Fair Competition

CCP Chairman dr. kabir Sidhu emphasized the ⁢Commission’s dedication to enforcing⁣ competition law in Pakistan.He issued‍ a strong warning to businesses against‍ engaging‍ in practices such⁤ as collusion,price-fixing,and the abuse of dominant market ⁢positions. This case demonstrates⁤ the CCP’s resolve to protect consumers and ensure a level playing field ‍for all market participants.