Cellular20.07.2016

Why a suspended WASP could still use MTN’s network

MTN logo on glass door

The Wireless Application Service Providers’ Association (WASPA) recently uncovered a new cellphone scam where South African mobile users were secretly subscribed to a paid-for adult service.

A panel of three adjudicators found that the service provider’s breaches of the WASPA Code Of Conduct were “numerous and both flagrant and extreme”.

The service provider’s WASPA membership was suspended until all of its services were provided to the Media Monitor for review and testing to rule out further harm to consumers.

However, MyBroadband has received evidence that the service provider was allowed to continue operating on MTN’s network, despite the suspension.

“Why on earth is MTN not protecting their subscribers?” asked an industry player familiar with the matter.

“In terms of the WASP agreement with mobile networks, if you are suspended from WASPA, all services can be terminated immediately.”

MTN explains

MTN said it is aware of the breaches to the WASPA Code of Conduct by one of its WASPs, and WASPA’s suspension of the WASP’s membership.

“MTN has also suspended the WASP in question from its network in line with MTN’s prescription of mandatory WASPA membership of all WASPs on its network,” the company said.

JK Kanis, General Manager: Partnerships at MTN Business, confirmed the WASP Infobip breached the WASPA code of conduct and was suspended by WASPA.

“This constitutes a material breach of the WASP Agreement MTN signed with Infobip,” said Kanis.

“The necessary legal action has been taken by MTN against the said WASP, to apply the suspension of its connectivity on the MTN Network.”

In terms of clauses 8 and 20 of the Infobip WASP Agreement, MTN has to provide 10 business days’ notice to Infobip to remedy a breach, prior to termination.

This explains why the WASP was still allowed to use MTN’s network to send communications, even though it was suspended.

Infobip responds

Infobip responded to the WASPA panel ruling, saying it has been incorrectly identified as the target of the complaints, and it is addressing the issue with the regulator.

“We are providing WASPA with assistance in targeting their action correctly. Infobip does not own, produce, promote, or advertise any of the content that uses our solution for payments collection,” said the company.

The action taken by WASPA, said Infobip, relates to a service operated by a third party with Infobip “merely an intermediary” in the supply chain of digital content and having no direct control.

“Infobip operates in accordance with all relevant legal and regulatory frameworks, and we cooperate with authorities in the investigation of any misuse of services.”

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