They were issued with license to operate; they made hefty profit and enjoy the benefit of having more and more subscribers.
However, they were found 'cheating' by the Malaysian Communications and Multimedia Commission. Some customers did not realise it while many didn't know their legal rights.
What a shame!
Telecommunications companies in Malaysia have been issued 50 compounds totalling RM2.29 million from January to Dec 23 for registering false prepaid sim cards, according to MCMC network security, enforcement and advocacy head Zulkarnain Mohd Yasin.
There has been a dramatic increase in compounds issued, at 89 per cent, compared to last year.
"The compounds were issued to telecommunications companies in March, September and early this month," he said in a statement, adding that 25 compounds totalling RM1.11 million were issued in March and September, while 25 compounds with fines amounting to RM1.18 million was issued in December.
"MCMC will come down hard on telecommunications companies involved in registering false prepaid sim cards because it involves the issue of national security," Zulkarnain said.
Figures released by MCMC showed that nine telecommunications companies were issued compounds this month with Tune Talk Sdn Bhd being fined RM350,000 followed by Digi Telecommunications Sdn Bhd (RM300,000) and the other five companies were fined between RM130,000 and RM20,000.
MCMC said national security and consumer safety is a top priority, adding that since 2006, investigations into criminal activities have become increasingly difficult due to falsely registered prepaid lines used by criminals.
Zulkarnain urged all telecommunications companies to ensure that their agents followed all the guidelines set by the MCMC.
He said the telcos must carry out their operations in a responsible manner and should protect the interest of consumers while paying heed to national security concerns.
Greedy? Could be...
However, there are not alone as there are other telco in some countries being subjected to legal action by the authority.
In New Delhi, a total penalty of Rs 2,513.44 crore has been imposed on telecom operators for violating customer verification norms as on September 30 this year, the Indian Parliament was informed on Wednesday.
And in France, the country's competition regulators fined local operator Orange 350 million euros ($380 million) for abuse of its market dominance as France’s former national telecom monopoly.
The regulator said in its resolution Orange had offered tariff discount schemes since 2002 that could have discouraged its corporate customers from moving their businesses to another telecom company such as Bouygues and SFR-Numericable.
These rival operators are currently using Orange’s fixed and mobile infrastructure to provide services to corporate customers.
The fine is the highest ever imposed to a single company in France since the competition regulator was created.
So, what do you think. Its 'normal for them to cheat', huh?