Qtel ordered to shut down Virgin Mobile service by August 4

Qtel announced today that it is taking steps to comply fully with the national regulator’s instruction to close down Qtel’s Virgin Mobile reseller service. ictQatar recently issued orders instructing Qtel to close down Virgin Mobile and remove the Virgin Mobile brand from the market. The orders also require Qtel to migrate all existing Virgin Mobile customers to another Qtel mobile offering or provide them with a full refund of unused credits in their Virgin Mobile accounts.

Qtel has confirmed that it intends to automatically migrate all existing Virgin Mobile customers to Qtel’s Hala service. This will allow Virgin Mobile customers to retain their distinctive ‘333’ mobile numbers as well as any existing mobile balances. From that point onwards, Qtel’s Hala prices and validity rules will apply and customers will be able to recharge using Hala Recharge cards.

Last July ictQatar announced that Qtel would face a fine and appropriate action in regards to its launching of Virgin Mobile-branded services in May that year. However at the time it was determined by the regulator that Virgin Mobile’s services did not constitute a third mobile licensee and therefore did not breach the terms of Vodafone as second licensee, though, the way it was marketed did deceive consumers as to its genuine nature.

On May 17, 2010, just four days after the launch by Qtel of Virgin Mobile services, the regulator issued orders to Qtel requiring certain changes in the marketing and presentation of Virgin Mobile services, followed by further instructions on May 20 on the same matter. On July 15, 2010 Qtel was ordered to “correct any wrong or misleading perception created by Qtel about Virgin Mobile services, and to ensure compliance with the telecommunications law”.