Licence of mTouche Singapore unit suspended


  • Business
  • Thursday, 23 Feb 2006

KUALA LUMPUR: Mesdaq-listed mobile messaging and interactive media applications provider Mtouche Technology Bhd has announced the temporary suspension of one of its service-based operator licences held by wholly-owned subsidiary mTouche Pte Ltd (MPL). 

The licence was suspended by the Infocomm Development Authority of Singapore on Tuesday with immediate effect for six months.  

In a statement to Bursa Malaysia yesterday, mTouche said this was an isolated case caused by one of the company's corporate users in Singapore, which used its corporate short messaging service (SMS) platform to send chargeable SMS and to persons other than the corporate user's employees and customers. 

This was done despite mTouche having described such services as only for “non-premium (non-chargeable) SMS” and to “enable users to send and receive SMS to employees and customers” in the Licence Registration. 

“The board views this as an isolated case.  

“We are doing our best to ensure that more stringent measures are adopted from now onto review the usage of services by all existing customers and also the technical policies, particularly in Singapore, to prevent the recurrence of such incidents,” mTouche said.  

In addition, the board believed the financial implication to the mTouche group subsequent to the suspension would not be material, as MPL would continue its business operations for other services during the suspension period. 

“The board wishes to highlight that MPL is not a major contributor to the mTouche group's total revenue,” the company said.  

The suspension followed an incident where thousands of Singaporean cellphone service subscribers received Chinese New Year greetings from the company, which later billed recipients S$1 for each text message. 

 MTOUCHE :  [Stock Watch]  [News]

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