Entire board of Cyta resign

7 Jul 2010

The entire board of state-owned Cypriot telco Cyta have resigned, The Cyprus Mail reports. The news follows a series of allegations made by various board members of irregularities regarding the sale of pre-paid phone cards and ‘double dealings’ in the bidding for a digital terrestrial TV (DTT) licence. It has been alleged that some board members’ attempts to ensure transparent transactions at the former monopoly operator – run as a semi-governmental organisation – were compromised by certain individuals with ulterior motives. Several of the board have been placed under investigation for possible criminal offences, including one member alleged to have sold phone cards worth around EUR300,000 (USD378,000) without authorisation. Meanwhile, bidding for the state’s second DTT platform was suspended last week amid allegations of double dealing between Cyta and one of the other bidders. The resignations of the former telecoms monopoly’s chairman and its other seven board members will be followed ‘very soon’ by the appointment of a new board, according to a government spokesperson.