The company that paid US$40 million for the broadcasting rights for British Premiere League Football through one of its units is asking again this year for the government to waive the fee it is supposed to pay for a lease it received to operate a state-owned paper factory.
Shwe Than Lwin Co. Ltd. filed the claim with Ministry of Industry saying that Sittaung paper factory was losing money due to rising power costs and because it had to pay workers even when the factory was not producing paper.
The company, which is owned by tycoon Kyaw Win, signed an agreement with the ministry in September 2011 that gave it a 10-year lease to run the state-owned factory for about $254,000 per year.
It has yet to pay a fee. Last year it submitted a request to the ministry similar to the one it submitted this year. The request was accepted.
Business owners say the fee waiver angered investors trying to play by the rules. They are hoping that the Cabinet shuffle last August, which saw Aye Myint replace Soe Thein as industry minister, will lead to a level playing field.
“The ministry should not lease factories to businesspeople for free,” said one investor who asked not to be named.
Sources say the ministry has asked the company to find a partner to help run the factory so that it can meet its contractual obligations.
Shwe Than Lwin has investments in coal mining and road construction, and makes beer and cigarettes. Its broadcasting unit, SkyNet Media, paid $40 million for the rights to broadcast Premiere League Football for four seasons, 2013-16.
No comments:
Post a Comment