Via our Company's regulatory disclosure dated 01.02.2017, we have announced that, our wholly owned subsidiary Avea İletişim Hizmetleri A.Ş. ("Avea") had received two separate reports from Treasury Controllers Board alleging an underpayment of Treasury Share regarding 2G and 3G services. In addition, via our regulatory disclosure dated 23.06.2017, we also announced that, Information and Communication Technologies Authority (ICTA) had imposed a penalty regarding this issue.
Via our Company's regulatory disclosure dated 24.07.2017, we announced that on the lawsuit regarding the treasury share claims on 3G services, the Council of State had issued a stay of execution for the 96% of the litigated amount and Avea had requested cancellation of the imposed penalty related to 3G services in the light of the stay of execution decision on the principal amount. Avea has filed a lawsuit regarding the imposed penalty related to 3G services.
At the same time, via our Company's regulatory disclosure dated 24.07.2017, we announced that with respect to the notification and penalty related to 2G services, interim injunction order had been issued. Arbitration process has started on alleged underpayment of treasury share and imposed penalty related to 2G services. In addition, appeal to the Interim injunction order has been rejected in favour of Avea by the related court.
Lawsuits, arbitration and official appeals related to other periods are still in progress.
This public disclosure is made by our Company under article 23 paragraph 7 of CMB's Material Events Communiqué numbered II-15.1, and relevant legislations.