Smart (a SpeedNet Communications service brand) called a rare press conference at its Belize City headquarters this evening, to publicly decry what it claims is deliberate sabotage by Belize Telemedia Limited (BTL), which Smart claims has again chopped international phone services from Smart’s 90,000 customers.
Before the nationalization of BTL, the two competitors enjoyed a smooth relationship, owned by the same business magnate, Michael Ashcroft. Since then, however, things have been rocky.
The quarrel between Smart and BTL is expected, since the government took over BTL in August, disclosing as a part of its justification that the same Ashcroft had been majority shareholder of both phone companies. With Smart’s sister company, British Caribbean Bank, also owned by Ashcroft, suing BTL for $45 million, the hostilities have recently intensified. Caught under the feet of the fighting elephants are the grass—customers demanding their due of reliable services at reasonable costs.
BTL—which has supplied Smart with everything from room space, to tower space to Internet connection under a string of controversial contracts—put its foot down last week, leaving Smart up in arms by a decision by BTL to cut its international access in less than a week.
Smart scrambled to fix the problem, and despite technical glitches, the service was fully restored Wednesday. Amandala was able to confirm that overseas calls could be made and received. However, this evening, Smart complained that BTL had taken down a satellite device used to route international calls without using BTL’s system.
Unfortunately for Smart, channeling international communications has meant that it has had to occupy space on BTL’s international building, at the company headquarters, to place its new device to route overseas calls. BTL said that Smart did not have permission to do so, removed it, and put Smart out of international business again.
BTL claimed Smart had failed to pursue other options that fairly reflect the cost of services, and rather stuck to the option that allowed Smart to undersell its very supplier, BTL—clever moves BTL contends were enabled by four agreements signed back in 2004, when Ashcroft, Smart’s majority shareholder, also controlled BTL.
As we were heading to press today, an incensed management of Smart called a press conference claiming that BTL had sabotaged its new apparatus to route international calls through a satellite system that completely bypassed BTL’s network.
Furthermore, Smart claims that BTL has disconnected two towers – one at Ladyville and the other at Benny’s near Belama in Belize City, causing customers to lose service in those areas, as well.
Speaking with the press this evening, chief executive officer of SMART, Ernesto Torres, said that Smart has complained to the PUC of BTL’s actions and lack of proper notice, just as it did last week.
For its part, though, BTL has defended its position, saying that it never granted Smart permission to mount anything on its roof. A company release said Smart’s termination from the international dialing arrangement was necessary to curb loss of revenue it is experiencing, because of the special deals inked in 2004 by BTL and Smart.
We asked Torres today whether Smart would consider renegotiating the agreements or give them up altogether, since they seem to be the main bone of contention with BTL.
Torres said that Smart had told BTL previously that it is prepared to discuss the terms of the contracts.
BTL reported this evening that the PUC has requested all copies of documents, agreements, licenses, etc., pertaining to the 2004 agreements between Smart and BTL.
Indications are that a move is afoot to have the contentious Smart-BTL debate on the fore. BTL’s release said PUC has instructed the parties to work together in “new negotiations.”
According to Torres, Smart pays roughly $1.3 million out to BTL for services for the year.
Smart says that the disruptions in services hurt their customers.