Identifier
Created
Classification
Origin
06KUWAIT373
2006-02-03 14:56:00
UNCLASSIFIED
Embassy Kuwait
Cable title:  

MINISTRY OF COMMUNICATIONS EAGER TO RESOLVE AT&T

Tags:  ECON ECPS BEXP KU 
pdf how-to read a cable
VZCZCXRO5423
PP RUEHDE
DE RUEHKU #0373 0341456
ZNR UUUUU ZZH
P 031456Z FEB 06
FM AMEMBASSY KUWAIT
TO RUEHC/SECSTATE WASHDC PRIORITY 2818
INFO RUEHZM/GULF COOPERATION COUNCIL COLLECTIVE PRIORITY
RUEHLO/AMEMBASSY LONDON 1156
UNCLAS KUWAIT 000373 

SIPDIS

SIPDIS

LONDON FOR TSOU
STATE FOR NEA/ARPI, EB/CIP/BA FOR ALAN GIBBS
STATE PLEASE PASS USTR FOR PAUL BURKHEAD

E.O. 12958: N/A
TAGS: ECON ECPS BEXP KU
SUBJECT: MINISTRY OF COMMUNICATIONS EAGER TO RESOLVE AT&T
DISPUTE


UNCLAS KUWAIT 000373

SIPDIS

SIPDIS

LONDON FOR TSOU
STATE FOR NEA/ARPI, EB/CIP/BA FOR ALAN GIBBS
STATE PLEASE PASS USTR FOR PAUL BURKHEAD

E.O. 12958: N/A
TAGS: ECON ECPS BEXP KU
SUBJECT: MINISTRY OF COMMUNICATIONS EAGER TO RESOLVE AT&T
DISPUTE



1. (SBU) Econ Counselor and Econ Officer met February 1 with
Ministry of Communications (MoC) Acting Undersecretary
Abdulmohsen Al-Mazaidi and Director of the Tariffs &
International Accounts Department Mr. Adel Al-Dashti to
discuss ways forward in resolving the long-standing billing
dispute between the MoC and AT&T. Al-Mazaidi said that the
MoC wanted to resolve the dispute as soon as possible and
that it could not legally continue to carry the outstanding
AT&T invoices on its books without resolution. He said that
an MoC employee, Mr. Ali Al-Zaben, would be traveling to the
U.S. in February to take part in TIFA discussions with USTR
and would discuss the AT&T issue. He also said that an AT&T
team was welcome in Kuwait "at any time" to resolve the
issue, and suggested that a team come to Kuwait in April, or
that the two sides meet during an ITU session in March in
Doha.


2. (SBU) Responding to Al-Mazaidi's suggestion that Embassy
might mediate the dispute, Econ Counselor noted that the
Embassy fully supported the two sides in coming to a
resolution of their differences, but could not act as judge
or jury in the matter. We could, he explained, facilitate
communication as much as possible and work to bring the two
sides together.


3. (SBU) Al-Dashti said that he believes the dispute might
stem from the late 1990's when AT&T and British Telecom (BT)
created the "Concert" joint venture, and then later dissolved
it. He surmised that the dissolution of that partnership
might have precipitated the billing misunderstanding between
MoC and AT&T. From 1998 to 2003, he complained, the MoC had
tried to reach AT&T to resolve unpaid bills "on a weekly
basis" but received no response. Finally, in 2003, the MoC
was able to establish communications with AT&T but, according
to Al-Dashti, AT&T did not have any records at all and asked
the MoC to resend all of its records. Al-Dashti's colleagues
in the International Accounts Department sent 500 pages of
fax material to AT&T, he said.


4. (SBU) Al-Dashti next volunteered that there had been a
misunderstanding concerning the November 2004 accounts
settlement agreement that AT&T believed it had reached with
the MoC through previous Undersecretary Hamed Khajah.
Al-Dashti said that Khajah did not have the authority to make
such an agreement, that not even the Minister has the
authority to commit to any type of financial settlement with
any company. Only the Audit Bureau, he explained, could
negotiate financial settlements. Al-Dashti closed by
reiterating his offer to meet with AT&T in Kuwait this April
or in Doha in March in order to work towards resolving the
long-standing accounts dispute.

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For more Embassy Kuwait reporting, see:
http://www.state.sgov.gov/p/nea/kuwait/index. cfm?cables
Or Visit Embassy Kuwait's Classified Website:
http://www.state.sgov.gov/p/nea/kuwait/
********************************************
LeBaron