Kuwait – Mubasher: Zain Group, listed on the Kuwait Stock Exchange (KSE), has announced that it had challenged the $18.6-million fine imposed by the Iraqi Communications and Media Commission of Iraq (CMC) on the Company’s subsidiary Zain Iraq.

The fine was imposed in accordance with the Iraqi Cabinet’s decision, according to the CMC.

The telecom firm said that the CMC had alleged that Zain Iraq provided poor service quality to its subscribers.

In this regard, Zain Iraq received on Wednesday, February 4, 2015, a copy of the Iraqi Cassation Court’s decision (issued January 18, 2015 in the absence of the parties) that dismisses the appeal and supports the decision by the Court of Appeals in favor of Zain Iraq.

The decision states that the Cabinet is not entitled to impose fines on telecom companies, the KSE statement revealed.

This decision is final and may not be appealed. The Company will demand the abovementioned sum from the CMC, to which it had paid $18.6 million as a precaution until the appeal had been examined.