PTA imposes Rs116.7 million fine on Zong over issuance of unauthorized SIMs

Zong Faces Pta Action Over Late Payment In Telecom Licensing

ISLAMABAD – The Pakistan Telecommunication Authority (PTA) has reportedly imposed a fine of Rs116.7 million on China Mobile Pakistan (Zong) over the issuance of unauthorized SIM cards.

It marks the second major penalty against the telecom operator within a week.

The action was taken after the regulator investigated a complaint filed by a citizen who discovered that two SIM cards had been registered under his CNIC without his knowledge or approval.

Following the complaint, the PTA launched an inquiry and found that the disputed SIMs had been activated through two separate franchise networks operating in Islamabad and Karachi. The regulator concluded that the registrations were carried out without the subscriber’s physical presence.

The PTA stated that the practice violated telecom regulations, including requirements under the Pakistan Telecommunication (Re-organization) Act of 1996 and the Subscribers Antecedents Verification Regulations of 2015. The authority held Zong responsible for ensuring compliance throughout its SIM issuance process.

During its own investigation, Zong acknowledged procedural issues at the franchise level and said it had taken internal measures.

The company removed an employee from the Islamabad franchise, fined the Karachi franchise, issued warnings to both outlets and blocked the disputed SIM cards.

Zong also said it had blacklisted individuals involved in the alleged violations and temporarily suspended over 800 mobile numbers connected to the concerned sales staff until verification procedures are completed.

The company maintained that the issue involved actions by individual retailers and said SIM activations had gone through NADRA-linked biometric verification.

However, the PTA rejected Zong’s explanation, stating that telecom operators remain responsible for SIM sales and activations regardless of whether transactions are handled through franchises or retailers.

The regulator also highlighted shortcomings in Zong’s monitoring system, including failures related to subscriber verification, biometric device compliance and franchise inspections.

PTA warned that weak controls could allow misuse of mobile connections for illegal activities and directed Zong to submit the fine within 10 days. Failure to comply could lead to further action under telecom laws.

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