Fresh row breaks out

Many MPs toned down their criticism of the new government, but in-fighting returned Tuesday to plague the latest Cabinet headed by Prime Minister Rafik Hariri.
Telecommunications Minister Jean-Louis Qordahi rejected remarks by Finance Minister Fouad Siniora, a Hariri ally, that criticized the international firm chosen to help monitor the revenues of the two cellular firms.
In a statement, Qordahi defended his choice of the Ericsson AB to supply equipment needed to monitor cellular usage.
“Ericsson AB was selected for the contract because it had supplied similar contracts to the French FTML cellular company and there was no complaint about that choice,” Qordahi.
He added that Ericsson AB had extensive experience in the sector and had installed 40 percent of Lebanon’s land lines.
He added that the firm had provided the best offer for the equipment and had brought down the installment cost from $6.6 million to $4.8 million after ministry negotiations.
Qordahi claimed that Siniora was wrong in claiming that the contract was awarded to Ericsson AB without taking into consideration expert recommendations on the matter.
Qordahi said the recommendations were attached to a report he had submitted to the Cabinet for approval.
Qordahi said that the contract was made with Ericsson AB in light of state requirements calling for determining the cellular sector’s running cost as a prelude to deducting it from the earnings of the two companies, Cellis and LibanCell.
Siniora, in a letter published by Al-Safir newspaper Tuesday, had accused the ministry of mismanaging the cellular network and failing to keep an eye on the two companies’ earnings as a prelude to deducting from them the state’s taxes.

Copyright©Daily Star