Correa tells AM: ‘pay up or get out’

12 Sep 2007

Ecuadorian president Rafael Correa has told Mexican mobile group America Movil (AM) that it must pay overdue taxes by December this year or shut down its local subsidiary, Conecel (Porta Celular), reports BNamericas, quoting Spanish business news site Cinco Dias. Correa said AM has not paid taxes for the last five years, and declared that ‘The party is over’, according to the report. Correa also claimed that Conecel’s tax bill was less than its nearest rival, Telefonica Moviles’ local unit Movistar Ecuador, despite having more than double the number of subscribers. Both cellcos’ contracts are due for imminent renegotiation with the government.

Ecuador, Claro Ecuador (Conecel)