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Telekom vs. ISPs - Timeline

March 26, 2002
"Telekom" started reducing selectively (only for some providers which were being suspicious to be in involved in VOIP service) the capacity of connections in precise and periodical intervals from 5.00 p.m. to 1.00 a.m.

a. They tried by obstruction of the traffic to reduce capacities of the providers who are involved in VOIP service.

b. Only verbal orders were being delivered.

c. The action was conducted by Miodrag Skulic, the Deputy Director of the Zone I at the authorization of Managing Director.

d. Danko Vasiljevic, the Executive at the ATC Lazarevac, refused to continue traffic obstruction without a written order, which actually he did not received, and thanked to the pressure of other users, he was joined by other Heads of the ATC throughout the Republic in his decision to refuse accepting verbal orders.

e. That action lasted till end of May.


June 11, 2002
The Network Department - Division of Exploitation, Maintenance and Systems of "Telekom", issued the working order to Maintenance Zones throughout the Republic for the following:

a. Realization of the working order no. 37371 filed on June 5, 2002 and issued by Managing Director and Deputy Director.
b. According to he order issued by the Managing Director of the company "Telekom" Srbija and pursuant to the order no. T-01/12-371/3 passed by the Business Users' Department; it was necessary to make the following users unable to generate output calls to fixed phone network users (disconnection of their output traffic).
  VisNET
  Tehnicom NET
  Absolut OK
  Informatika
  Inter Tech

c. By passing that order "Telekom" has violated the contractual obligations in regard of direct connections service offered to the above-mentioned companies.


June, later this month
In , some of the above-mentioned companies brought the charges against "Telekom" because of failing to comply with contractual obligations.

a. The Economic Court in Belgrade passed the eight decisions by which the providers' demand for introduction of enforced stopgap measure till the end of the dispute has been accepted; at the same time, it was ordered to "Telekom" to reestablish previous working conditions because it was possible that losses caused by Telecom`s actions might be irretrievable.

b. According to the order passed by the Managing Director of "Telekom Srbija" and pursuant to the order no. T-01/16-137371/1 NM filed on June 5, 2002 and issued by the Business Users' Department, it was necessary and based on the Court's Decision to make possible for the Users to generate output calls to users of fixed phone network (connect their output traffic). Stopgap measures passed by the Economic Court would be applied by such action.

At the verbal request of the Business Department's Director, the officer Antic Slavisa issued the prohibition for all the companies under stopgap measures to use new capacities, which is in contract to the public interest that "Telekom" should respect.


June 23, 2002
"Telekom" brought accusation in the "Politika" papers against unnamed providers who were smuggling words. The title of the article was: "Smuggling of Words Through Wire". The whole article was written in "Telekom" and signed by Goran Volf, the Chief of the Desk. This has initiated a bad media campaign, which is still going on.

a. On June 23, 2002, "Politika" published the first reaction of the providers answering to very accusing text. Goran Volf also signed this article.

b. Daily papers started to favorite the providers accompanied by electronic media and news agencies.


June 25, 2002
Mr. Drasko Petrovic, the Managing Director, by his letter filed on June 25, 2002, terminated all the contracts signed with the users who had brought the charges against "Telekom" without further explanations. This decision is illegal pursuant to the Regulations on PTT Services. Reasons for termination of user's relationship between PTT organization (hereinafter "TELEKOM SRBIJA") and telephone user are strictly defined by terms of the Law on Post and Telecommunication Services (the articles 75 and 85). It is defined precisely by the paragraph 2 (in both above-mentioned articles of the Law without permitting any improvisation in interpretation how it should be applied) that termination of user's relationship can take place by cancellation, BUT ONLY BY USER'S WRITTEN CANCELLATION.

In June 2002, "Telekom" submitted number of complaints to the Economic Court in Belgrade, denying mainly an absolute jurisdiction of the Court. IP Council of the Economic Court rejected the complaints of "Telekom" confirming its former decisions ordering "Telekom" to reconnect all disconnected users.


July, 2002
a. Users sent letters warning "Telekom" about illegal discrimination of particular legal entities who were denied of distribution of resources.

b. "Telekom" did not react by offering any explanation.

c. The providers initiated the legal proceeding in presence of anti-monopolistic commission because of such monopolistic behavior.


August 1, 2002
"Telekom" initiated a complete disconnection supported by termination of contracts from the 1st of August.

a. The providers demanded from the Economic Court to start applying effected stopgap measures and reconnection.

b. The Economic Court sent the executive judges to enforce the effective Court's Decisions.

c. "Telekom" refused to apply the orders passed by the Economic Court pointing out that the termination of the contracts caused appearance of new facts.

d. "Telekom" brought criminal charges against authorized people in the companies who had filed a suit, because of criminal offences such as robbery and unauthorized connection to public telephone network. All legal entities possessed legally signed contracts, so the charges were not deemed as sufficient evidences for an action. In addition to criminal charges, "Telekom" filed also a suit against:
  Republic Bureau of Public Revenues
  Republic Ministry of Traffic and Telecommunications
  Federal Market Inspection
  Federal Foreign Exchange Inspectorate


August 16, 2002
The Network Systems Inspector at the Ministry of Traffic and Telecommunication of Republic of Serbia passed the Decision no. 345-07-627/2002-04 based upon the control inspection, instructing the following:

  To connect into traffic all the above-mentioned companies, immediately after delivery of the Decision, urgently and without delay and under any circumstances in one (1) day period at the latest, and make possible for them to use without any disturbance E1 connections, realized according to the Contracts; the above-mentioned companies have not cancelled the Contracts and complied with the assignment provisions and obligations to "Telekom Srbija" a.d. pursuant to the Law on PTT Services. To make possible for the companies to use the connections until the companies acting as users do not cancel the services and fulfill their obligations in accordance with the Law on PTT Services.

  To stop immediately disconnecting of business users or depriving them of the resources, which were distributed to business users who are in possession of legally signed Contracts with the company "Telekom Srbija" a.d.

  To stop immediately with violent and unilateral (based at monopoly and threats of disconnections) amendments of the Contracts signed by business users.

  To secure a complete two-way data transmission at all E1 connection points and ISDN PRI (30B+D) connection points and other resources, or to perform configuration exclusively at the request and needs of business users.

  To stop immediately all the activities (based on a specific monopoly), which endanger business activities of internet providers and other users who are involved in data transmission according to internet protocol, regardless to data contents (picture, voice, text) and therefore stop acting in contrary to the interests of Republic of Serbia, or in other words, to stop endangering the internet development in Republic of Serbia.
The Inspector points out that "Telekom Srbija" a.d. has monopoly over the fixed phones services, but that it has no monopoly either on internet or data transmission according to internet protocol, known as VoIP.
To secure, pursuant to the obligations defined by the article 11 of the Network Systems Law ("Official Gazette RS" nos. 38/91, 41/91 and 20/97) permanent, uninterrupted and quality functioning of traffic and maintenance and protection of capacities and objects, installations and equipment and other facilities, to a final user, as well as confidentiality and protection for transmission of all types of messages through the system within the limits of technical possibilities.

  To stop immediately to analyze data that are transmitted via Internet protocol, or in other words, to stop analyzing their contents (picture, voice, text).

  To use traffic measuring at the resources distributed to business users (the traffic registered in Erlanzim-E) only for securing realization of all demands set by business users to "Telekom", or in other words, for improving of quality and quantity in realization of demanded services.

  To inform the Network Systems Inspector precisely about every planned check up of the users' telecommunication equipment and installations of business users eight (8) days in advance.

  It is ordered to all the companies mentioned in the Decision (business users), as well as to the company "Telekom Srbija" a.d. to inform the Inspector by all means and regularly about all disturbances in the recourses, which are connected in the traffic and used for data transmission according to the Internet protocol.

  Mr. Drasko Petrovic, the Managing Director of the company "Telekom Srbija" a.d. is responsible for the implementation and effectiveness of the paragraphs 1-8 of the Decision in time limits set by the Decision, as well as Mr. Dimitrios Kouvatzis, the Director of the Business Users Department; the same people and Directors of the above-mentioned companies-business users are responsible of implementation and effectiveness of the paragraph 9.


August 24, 2002
f. After disregard of the Decision passed by the Ministry of Traffic and Communication, the Providers' Association put the announcement in the paper demanding from the Director of "Telekom" personally to respect and put into effect the Decision. The facsimile of a part of the Decision was printed on the whole page in "Politika" newspaper.

g. "Telekom" accused the providers who brought charges that they were not actually the providers.

h. At the public meeting with journalist, the Association supported unanimously the providers and requested from "Telekom" to respect the Decisions passed by the Economic Court and Ministry of Traffic and Telecommunication.

i. "Telekom" submitted the complaint against the Decision, which was supported by procedural facts that do not change the essence of the Decision and requested its revoke. Mr. Drasko Petrovic refused to respect and put into effect the Decision although "Telekom" was legally obliged to respect the Decision.

August 26, 2002
j. IP Council of the Economic Court, pursuant to the Law on PTT Services, passed the second-instance Decision by defining "Telekom"s disrespect of effective Court measures as "violation of rights".

k. At the request of the providers, the Economic Court put "Telekom" under pressure demanding implementation of its Decisions, which "Telekom" refused to respect.

l. The providers inform media regularly about all the facts mentioned above.



September, 2002
In September, we feel free to say, that a real war between Providers' Association (about 40 members) and "Telekom started.


September 10, 2002
a. Marija Raseta-Vukosavljevic, the respective Minister requested from "Telekom" to reconnect the providers who were deprived of its services unilaterally. "The Network Inspector ordered "Telekom" to act respecting its legal obligation" - quote "Politika", RTS, B92.

b. "Telekom" did not offer any answer to the request, but the Union of "Telekom Srbija" announced in public: the Union initiated criminal charges against Bozidar Milovic, the Federal Minister of Telecommunications and Marija Raseta-Vukosavljevic, the Republic Minister of Telecommunications, and against their Deputies. Zoran Mrvaljevic, the Union's Leader said that they acted in such way because officers of both Ministries failed to control provider's business activities, who established, according to his saying, international interconnections illegally.

c. Zoran Mrvaljevic also said that the Union of "Telekom Srbia" would require the resignation of the Managing Director of "Telekom Srbia", Drasko Petrovic if he gave up under the providers' pressure by supplying connections for voice transmission via Internet (VOIP).

d. After the Union's action, the Republic Ministry of Traffic and Telecommunications issued the announcement that they acted according to regulations and rules covering the field of telecommunications. Also, it was announced that the Ministry would respect the Decision passed by the Economic Court in Belgrade.

e. After those announcements in daily newspapers and electronic media, the conflict escalated; we feel free to say that the issue has become number two news in media, just after the presidential election.

f. The Providers' Association accused "Telekom Srbija" that it caused losses of 25 million euros for the country by avoiding to put into operation the satellite station in Ivanjica. It was said also that the Federal Telecommunication Inspection found out in June that the revitalization problems in regard of the station in Ivanjica were "pure sabotage". In the report from the 20th June, it was said "strategic interests of the state, telecommunication system development and redirection of telecommunication traffic to other countries have been endangered." It also caused "economic losses because of equipment exploitation running behind the schedule". "Telekom" tried to "hush up" the report by assaulting the internet-providers.

September 16, 2002
g. The Network Systems Inspector at the Ministry of Traffic and Communication of Republic of Serbia passed the Resolution no. 347-07-627/2002-04 for permission of effectuation; based thereupon, a procedure of enforced putting into effect the Decision no. 345-07-627/2002-04 was initiated because "Telekom" refused to respect the Decision.

September 17, 2002
h. Marija Raseta-Vukosavljevic announced that Yugoslavia would sue the Italian company, which revitalized the ground satellite station in Ivanjica unsuccessfully. She said that the charges against the company "Telespazio" would be brought by Federal State and that the inspectors at the Republic Ministry of Traffic and Communication "are collecting the complete documentation" for charges. In June of 2002, the Federal Telecommunication Inspection concluded that the problems appeared at revitalization of the station in Ivanjica represent "a pure sabotage" which "puts in danger strategic interests of the state". "The country is having serious economic losses" because the satellite station, which was damaged in NATO aggression is still being out of order. Referring to the legal case initiated by the group of providers vise "Telekom Srbija", Marija Raseta-Vukosavljevic declared that »Telekom« must reach an agreement with the providers and pointed out that the legal dispute should not have been initiated in the Court.

September 18, 2002
i. The Federal Ministry of Traffic and Telecommunication reached the Decision opposite to the Decision passed by Republic Institutions stating the following:

1. It is ordered to the company »Telekom Srbija« a.d. from Belgrade, Takovska 2, to disconnect temporary installations and facilities and connection lines and other equipment being used for international connections, owned by the following legal entities:
  "ZIG CHEMIC" d.o.o. - Trading and Production Company with its headquarters in New Belgrade, II Bulevar 80/4;
  "SEA LEADER" d.o.o. - Headquarters in Belgrade, Vlajkoviceva 11;
  "ABSOLUT OK", Software Company, d.o.o. - Headquarters in Belgrade, Palmira Toljatija 5;
  "SVETI NIKOLA" d.o.o. - Export-Import Company-headquarters in Belgrade, Palmira Toljatija 5;
  "MCS NET" - Trading and Consulting Company d.o.o. Headquarters in Belgrade, Ustanicka 128b;
  "GAMA ELECTRONICS" d.o.o. - Company for Production and Trading of Electronic Equipment -headquarters in Belgrade, Misarska 11;
  "VISNET" - Trading and Consulting Company d.o.o. Headquarters in Belgrade, Kopernikova 3;

2. Temporary disconnection will be terminated when the above-mentioned legal entities acquire permission for connection of their network systems with systems of the other countries. FEDERAL MINISTRY OF TRAFFIC AND TELECOMMUNICATION issues permits for connections.

3. The Decision is being put into effect IMMEDIATELY.

4. Any of submitted complaints does not delay effectuation of the Decision.

5. The Telecommunication Company "Telekom Srbija" a.d. Belgrade, Takovska 2 will immediately deliver a report on effectuation of the Decision to the Ministry.


September 19, 2002
j. the Internet Providers' Association of Yugoslavia made the statement that the Managing Director of "Telekom Srbija", Drasko Petrovic had some influence at the Decision passed by the Federal Ministry of Traffic and Telecommunication advising »Telekom« to deny use of its capacities to Internet providers until they provide necessary permits. The Association insisted that the text of the document was amended at the meeting with Mr. Petrovic, some of "Telekom"s Directors and Federal Inspectors, Vladimir Djokic and Ratko Lakicevic, and supported its statement by presenting the records from the meeting. The providers "suspect that Mr. Djokic who signed the inspection report about telecommunication station in Ivanjica, tried to negotiate an arrangement with "Telekom" because he had been keeping the report which included some very serious accusations for three months in the drawer instead to deliver it to police and district's attorney office".

k. From September, the Association has been appearing more often in media, and "Telekom" is not offering any explanations.

September 23, 2002
l. From 23 September, the Network System Inspector at the Ministry of Traffic and Telecommunication of Republic of Serbia issued the prohibition for start of operation of Telekom network SMIN based on the inspection and failure to acquire permits, irregular documentation and practice.

-------------------------------------------

What could have been the cause of this dispute (some call it war), having in mind that VoiP services don't cover more than 3% of the world communication traffic (and in Serbia probably less)?

Maybe the best answer to the question "Where is the snag?" ("Where is the rabbit?" in Serbian) lies behind the picture of the Enderby island rabbits:

More about the Enderby island rabbits on:
http://www.rarebreeds.co.nz/enderbyrabbit.html
 
Source:

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