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Scandal over CyTA restructure contract [Cyprus Mail]
[September 17, 2014]

Scandal over CyTA restructure contract [Cyprus Mail]


(Cyprus Mail Via Acquire Media NewsEdge) By Constantinos Psillides The House of Representatives Watchdog committee on Tuesday demanded more information regarding the CyTA board's decision to choose German company Detekom to conduct a study into the telecommunications authority's organisational structure.



According to the annual report filed by the office of Auditor General Odysseas Michaelides, German telecommunications giant Deutsche Telekom is a shareholder in Detekom.

Detekom, according to the MPs, will be tasked with laying the groundwork for CyTA's organisational restructuring so the company can be successfully privatised.


AKEL MP Aristos Damianou said that according to their information, Deutsche Telekom would be among the companies interested in acquiring CyTA in the event of the semi-governmental organization's privatisation.

"This is a possible scandal and a conflict of interest," said Damianou, adding that AKEL has asked the Auditor General to look into the deal.

CyTA board members present at the meeting assured the MPs that they will provide them with all necessary documents, explaining their decision.

CyTA spokesman Lefteris Christou told the Cyprus Mail that Detekom was the best choice, given the circumstances. "We were looking for a company that has done this kind of work before.

We needed someone with extensive experience in the telecommunications field," explained Christou, adding that their other option was Vodafone, which is a major competitor of CyTA Hellas, the company's subsidiary in Greece.

Christou also said this is not the first time that CyTA has partnered with Detekom to improve the company's organisational structure. "We had a similar deal back in 2007. Detekom came up with suggestions for our organisational structure which were implemented successfully." Christou made clear that CyTA won't give Detekom any privileged information.

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