The PNG Ombudsman Commission has been urged to investigate ICCC's (Independent Consumer and Competitions Commission) CEO Thomas Abe for allegedly receiving a gift from the Irish phone company, Digicel (PNG) Ltd.

A former Digicel employer (who does not want to be named) wrote to the Chief Ombudsman, PNG Prime Minister Sir Michael Somare, Opposition Leader Sir Mekere Morauta and Minister for Treasury Patrick Pruaitch on January 30 asking them to investigate the ICCC CEO and Digicel.

According to reliable documents, Digicel assisted ICCC CEO and his village church group with K10, 000 to purchase musical instruments.

The Digicel (PNG) Ltd's Westpac Bank-PNG Limited cheque No 102592 was paid to Key Note Music House of PNG, Boroko on February 14, last year. A week later (27/02/08), the Sivitatana Group and Abe ordered a range of music equipment totalling K10, 000.

The salesperson at Key Note Music House Boroko in Port Moresby, John Oaseoka confirmed that Abe and his church group had ordered a range of music equipment totalling that amount.

He said Abe went personally with the youth group and to order equipment ranging from cables to speakers, guitars, Yamaha power mixers and a keyboard that day.

"I call on the Ombudsman Commission to investigate this matter and deal with it appropriately. This action amounts to corruption and bribery. This shows the calibre of the person we have occupying a seat of which he has been entrusted and held in high regard to manage.

"If the ICCC CEO has accepted this gift, it is morally wrong and should be dealt with appropriately. Right now, those of us who had respect for him as a tough regulator have lost all respect for the man. This will cast serious doubts on the fairness of the independent body at the highest level," the former Digicel employee said.

He further claimed there was a complete list of people who received similar gifts. "This list will be published at a suitable time and forum unless the appropriate body investigates this as a matter of urgency. This list also includes telephone numbers. Digicel must be investigated," the letter said.

Abe who was asked to comment said it appeared certain people wanted to smear his name.

He said he did not directly approach Digicel for assistance.

He said the youth church group had approached Digicel as they were raising funds for instruments for their church and evangelism ministry.

"In presenting their application they put me down as one of the referees as I knew some of these reformed youth who were once addicted to marijuana.

"Digicel contacted me to verify the group and the genuineness of their request.

"I provided Digicel with a background of the youth and it was Digicel who made up their mind to assist the group because it was a worthy cause. As the boys were from the village, they had no identification so I had to go with them to Keynote to help them out in case of questions from Keynote. The group is now using the instruments evangelising in their area," Abe said.

A spokesperson from Digicel PNG when asked to comment did not deny assisting the youth group. He said since Digicel's launch in 2007 in PNG, it has spent over K3 million on sports and community sponsorships.

"Digicel believes in giving and helping needy communities and our efforts have been widely-acknowledged and commended," he said.

Meanwhile a formal complaint has lodged by Telikom PNG Limited against Digicel using a Leased Cost Router (LRC). This diverts calls made from Telikom fixed lines to Digicel numbers when it is not licensed to do so.

ICCC's Abe said until an investigation is conducted by ICCC and findings established and relayed to all parties concerned, the ICCC is not in a position to comment on the matter.

He added the law requires that provision of Internet Services can only be provided by a person or entity holding a VAS License.

He said Digicel had applied for a VAS license and was granted one early this year.

Abe made the remarks in response to questions on whether Digicel is licensed to use a Leased Cost Router (LCR) which diverts calls made from Telikom fixed lines to Digicel numbers which in effect bypasses the Telikom Gateway and eliminates interconnect call costs.

In relation to interconnections rates that has resulted in Telikom paying 89 percent higher than what Digicel pays to Telikom during calls between Telikom's fix lines and Digicel's mobile phones, Abe said there is a confidentially agreement covering the issue in the arbitration.

He said Telikom did not like the commission's arbitrated decision so it appealed to the Appeals Panel or Experts for a review of the determination.

"The Appeals Panel reviewed Telikom's complaints and affirmed the commission's decision that the interconnect rates had been properly decided in accordance with the legal requirements.

"So Telikom has nothing to complain about regarding the level of interconnect rates, " Abe said.

But Telikom insiders said they held a meeting with Abe regarding these issues and would be releasing an official statement soon.

Digicel pays K0.06 toea for calls to Telikom B Mobile while Telikom pays K0.46 toea to connect to Digicel. This means that Telikom PNG would have to pay 89 percent more to Digicel which is killing Telikom, according to sources.

As a result Telikom PNG is facing a hefty K2.4 million bill to Digicel. According to a written correspondence last month, Digicel Acting Financial Controller Daragh O'Driscoll wrote to Telikom PNG to settle its bill of K2,356,916.87. -