Staff Reporter

Under a new initiative called Customise Your Price Plan users build the service they want by choosing a suitable tariff.

They can then add text interactive-text and WAP allowance select data services such as picture messaging and choose their preferred terms of payment (monthly quarterly or annual).

Additional services can be added at any time either online via the

T-Mobile website by calling customer services or by visiting a

T-Mobile store.

T-Mobile chief sales and marketing officer Clent Richardson said: Customise Your Price Plan recognises that mobile phone users want to be with a network that meets their individual needs delivers excellent services and doesnt pigeon-hole them.

The news came at a creditors meeting last week amid reports that Telecom South directors may have transferred its assets to a new company leaving creditors with little chance of payment.

Telecom South ceased trading last month after a corporate customer went bust owing close to 200000.

Telecom South provided airtime and handsets to corporate customers health authorities and the emergency services.

It sourced airtime from of service providers including DVH RSL COM Your Communications and Avenir/CMC.

It lost between 300000 and 400000 last year when RSL COM went into liquidation.

Industry creditors include 20:20 Logistics AirCall Anglo Communications Avenir Telecom O2 Data Select Grapevine Communications Singlepoint 4U The Mobile Repair Company and Unique Distribution as well as the Inland Revenue banks utility companies and various other suppliers.

Dorset service provider Anglo Communications and London distributor AirCall are among the worst hit. AirCall is owed about 300000. Anglo is owed around 200000.

Telecom South managing director Clive Thomas is on the creditors list as is former finance director Mohammed Ghaffar who left last month after just seven months.

Some creditors are concerned Thomas and Ghaffar have transferred Telecom Souths assets to a new company leaving Telecom South with no assets.

Suspicions were raised when calls to Thomas were directed to Nu-Communications a new company set up by Ghaffar that is trading from Telecom Souths premises.

Companies House records show that Thomas and Ghaffar were both directors of Nu-Communications until Thomas resigned as a director last month.

Nu-Communications wrote to some Telecom South customers and suppliers saying:

With effect from 1 June Telecom South will cease to trade.

The assets of Telecom South have been taken over by Nu-Communications (UK) Ltd.

Ghaffar denies he has purchased any assets for cash.

I have taken on some of Telecom Souths liabilities. We wanted to build relationships with some of the airtime companies.

To do this we had to take on some of Telecom Souths customers. We contacted some customers to offer them the same discounted line rental deals that they would have lost when Telecom South went out of business.

Telecom South has earned the commissions on the initial connections. It is costing me money to pay the subsidy on the line rental. I have not purchased the customer database.

I had access to the customer database while I was working at Telecom South. The assets I took on were liabilities.

I agreed to take over the lease at the offices of Telecom South and I have paid some of Telecom Souths debts said Ghaffar.

Ghaffar says Thomas has no involvement with Nu-Communications.

Clive Thomas is no longer a director. He could not give me the commitment I needed while he is winding down Telecom South. Winding down Telecom South is taking up too much of his time. He remains a close friend. There is nothing wrong with that Ghaffar told Mobile News.

The liquidators report into

Telecom Souths demise was not available at the time of going to press.

However industry sources say signs that the company was in trouble had been around for some time.

Euro Cellular chief Win Donaldson said he stopped supplying phones to Telecom South a year ago due to problems obtaining payment.

It is believed Telecom South was adding between 1000 to 1500 connections per month and making 100 profit per connection which should have covered the RSL loss within six months.

A billing dispute with Anglo Communications arose after Telecom South said billing data from Anglo didnt tally with its own figures.

Anglo only started supplying Telecom South with airtime in November last year.

By May it was threatening to sue Telecom South over an accrued debt of 250000 (Mobile News May 27).

The dispute with Anglo resulted in Telecom South customers mobile phones being suspended. So customers stopped bills to Telecom South and switched to other providers.

Connection levels dropped to less than 800 connections a month in March.

The dispute has since been resolved and Anglo has received some payments. Telecom South managing director Clive Thomas was unavailable for comment.

O2 has been keen to push the xda to independent dealers but have been slow to provide training and support to set up the product for customers says Steve Bellamy partner of Kent-based specialist dealership Fleet Communications:

We are finding it hard to push the product and drive sales because we arent confident setting up and showing people the various applications available.

It is a fantastic product and we have sold a few. But it is frustrating because we still havent had proper training from O2. We have spoken to O2 dealer manager and he keeps promising us that they will be providing training. But this has been going on for weeks and weeks.

It isnt just the independent channel that is suffering from a lack of training. We have had people who have bought the product at Dixons or another High Street dealer and who want our help in setting up their email address or other internet-related services.

Managing director of Dorset-based dealership Planet Communications Geoff Allen says:

We have been doing a lot of b2b recently and we have been unable to demonstrate the xda to our business clients because we havent been given the training to demonstrate the product.

A spokesperson for O2 said:

Our xda training courses have started this week. We did include a section on the xda in our mobile web training that we have been running for a couple of months now. This gave dealers an introduction to the opportunities available through data. There has been an online emulator of the xda on our website.

We would have preferred to have given dealers training on the xda before we launched the product as this would have been in both our interest and the dealers.

But we simply were not able to get the stock required to do that. The groundswell of interest in the product was so strong that we had to launch. We had people asking us about the product and wanting to know when it would be launched.

O2 says it would have been an incorrect decision to delay the launch until sufficient stock was available to allow dealer training.

The sales prove we made the right decision. They have matched our expectations.

We are very happy with the sales and the feedback has been excellent.

Operation Divert was launched on Monday July 8 with raids on homes and business premises in Manchester Stoke-on-Trent Sheffield and the North East.

A considerable amount of money in bank accounts has been frozen and other assets and cash seized. A Customs & Excise statement said:

Those arrested were interviewed by Customs investigators at police stations in the regions involved.

Fifteen people have been released on police bail to be interviewed again at a later date.

Three men appeared at Manchester Magistrates Court charged with conspiracy to cheat the public revenue.

They have been released on conditional bail until July 16. They are: Michael McNeil (31) of Radcliff

Manchester; Brett Simon Isset (27) of Walsden West Yorkshire; and Colin Daniel Jones (36) of Failsworth

Manchester.

Another two people appeared at Manchester Magistrates Court last Wednesday. Raymond John Cox (32) of Hiderstone Staffs aged 32 was remanded in custody. Sarah Louise Smith (29) of Timperley Man-chesterwas released on conditional bail.

Another man connected with a distributor in the Stoke-on-Trent area (NOT Caudwell Group or Signal) is also understood to be on police bail until September.

All the companys products and services will use 3 in number format only.

The exception is the companys website where the new brand will be written in the language of the local country.

The company has refused to reveal any details of the (Cont P2) new logo or any information about products and services insisting that this information will come later in the year.

The new brand name will be 3. It is a simple name and it will be the same in every market. It will come across differently in each country due to the pronunciation in each language. It is nice and simple Hutchison 3G spokesperson Edward Brewster said.

Brewster has denied rumours that Hutchison 3G has sacked 52 sales people during the last four months but revealed around 12-14 people have been laid off over the past five months out of a workforce of 1800 people.

He remained at Ora through its administration and subsequent purchase by Acson. Ora decided not to renew his contract in the restructuring.

Said Ora managing director Peter Oliver:

Since we took over Ora in February of this year we have implemented various changes which we believe will help the company run more effectively and efficiently.

This ongoing review (Cont P2) has meant that in some cases reporting lines have changed and roles have been restructured.

There have also been a limited number of positions eliminated as part of this process. In some instances service agreements have been not been renewed.

We can confirm that Bob Walker is leaving the company. Bobs responsibilities will be managed by Oras sales and marketing team headed by William Phillips.

Walker declined to comment.

Meanwhile Ora has entered its first agreement with US distributor Brightpoint to exclusively distribute O2s xda accessories in the UK and Ireland. Brightpoint will be O2s sole suppliers of xda accessories in Europe through its network of continental offices and distribution centres.

Oliver hopes the deal will be the first of many with Brightpoint:

We joined forces to strengthen our combined positions. The deal with O2 is to distribute xda accessories initially but may be extended to include distributing xda handsets later on.

Bayley said that he had been approached by another dealer who wanted to sell him five shops in prime location sites. But Bayley had to turn the deal down because he realised T-Mobile would object saying the proposed shops were too close to existing Fonehouse outlets which already have T-Mobile (Cont P2) branding on the fascias.

T-Mobile is not looking for us to grow very rapidly. T-Mobile only wants us to open new shops where it doesnt have any of its own. There has to be some give and take so that we can agree where we can open our new stores and they can open theirs. If it has strategic partners they should be accommodating their business.

A T-Mobile spokesman said:

It would make total sense for us to retain the integrity of our retail brand and it is our responsibility to do so. We dont want to confuse our potential customers. It is about protecting our brand and being responsible for what we are doing from a retailing point of view.

If one of our solus dealers were to open an outlet close to one of our retail outlets and it didnt succeed then it could damage both of us. There is no common sense in a dealer doing this. We dont mind competition. We want to encourage competition. But competition in a logical location that isnt next to one of our stores.

Meanwhile T-Mobile solus dealers will soon be able to have the networks name on their shopfront awnings – albeit with special new signage.

T-Mobile had found itself under attack from dealers who had been told they would not be allowed to replace their obsolete One 2 One fascias with T-Mobile-branded fascias (Mobile News 10 June).

They had been ordered to take down the One 2 One fascias but were not given any T-Mobile signage with which to replace it.

T-Mobile says it is finalising plans to create separate branding for solus dealers. The signage will differentiate solus dealers from T-Mobile retail outlets.

A spokesperson for the network said.

We are working on fascia plans for dealers who are totally dedicated to supplying T-Mobile products exclusively. There is no problem with them using T-Mobile branding. If they are good dealers then we want them to display our brands.

Ridge is accused of spending over 400000 of company money without board authority on payments to non-PNC Telecom staff reports Bard Covington.

He is also accused of purchasing of stock from his wifes jewellery business raising the salary of his former KJC partner Joseph Case and other transactions involving family members.

Ridges solicitor Barry Mordsley says he will vehemently defend the allegations adding that PNCs actions came after Ridge submitted an application to the employment tribunal for unfair constructive dismissal by PNC for failing to pay his wages in May.

The allegations are totally without foundation. We will vehemently defend the action. PNC Telecom knows exactly why Ridge resigned. It was warned well in advance he would resign because he had not received his wages. The warnings were served well before the company decided to carry out any disciplinary hearing. He resigned before he was dismissed. We have brought proceedings against PNC Telecom for unfair constructive dismissal as well as for breach of contract and failing to pay him his wages for May.

We will issue proceedings against PNC Telecom at the High Court for breach of contract. This is just a way for PNC to cut its costs in avoiding paying him under his contract. He has been scapegoated for the failure of a company within an industry that everyone knows is doing disastrously said Mordsley. (Cont P2)

PNC sent out a statement last week saying:

PNC announces that following Mr Ridges resignation as director of the company it has come to the companys attention that he may have committed acts of misconduct. In view of this development PNC has commissioned a report into his conduct. The investigations resulted in Mr Ridge being invited to attend a disciplinary hearing scheduled to be held on

Monday June 24.

However his lawyers submitted his resignation as an employee with immediate effect and without notice on Friday June 21 and informed the company he would not be attending the scheduled disciplinary hearing.

The company was disappointed that he declined to attend the disciplinary hearing to provide an explanation of his conduct. In the circumstances PNC has concluded that his non-attendance was due to him not being able to adequately respond to the allegations.

The companys lawyers were instructed to issue proceedings immediately for the recovery of monies which it believes is due from him.

PNC chief executive Ian Gray disagrees that PNC is trying to avoid paying Ridge what he believes he is due.

Gray says PNC has substantial evidence to back up its allegations.

Gray said PNC became suspicious after two KJC maintenance men who resigned following Ridges resignation declined to return to the company to pick up their final pay cheques.

No-one has seen these staff before. They were on KJCs payroll but had never been seen at KJC premises.

They were never issued formal employment contracts and the company has little personal detail on them.

Ridge was invited to explain this and other matters that have come to light but he resigned.

If he has nothing to hide he would have turned up at the meeting. The company has substantial evidence to back up its allegations. We would not have taken this course of action lightly said Gray.

Mobile Everything boss Julie Gullick says she has battled with Vodafone since last November over outstanding commission payments that at one stage totalled over 11000.

Gullick accused Vodafone of trying to push my business into the ground after the network withheld commission payments following a 2500 debt owed by Gullicks previous employers former Carshalton dealer SJS Communications.

SJS employed Gullick until it went bust March last year.

Gullick had left SJS to start up Mobile Everything which specialises in business-to-business customers.

Gullick says Vodafone through dealer account manager Chris Harmen and dealer finance commission manager Doreen Hague told her she had to pay the SJS debt to Mobile Telecom the service provider Vodafone purchased in August

2001.

She was told this was because she had worked for SJS and her new company was now servicing and upgrading former SJS customers.

Vodafone said that I used to work for SJS. Because I was working on SJS old database they told me I was morally liable to pay the debt.

I refused Gullick told Mobile News.

This was just an excuse to withhold my money and push us into the ground. Just like the other 50 dealers who were sacked earlier this year which Mobile News reported (May 27) said Gullick. (Cont P2)

At the time of the fight to get our money we didnt realised this had happened to so many other dealers. I decided we wouldnt sit back and let Vodafone do this to us says Gullick.

Gullick says Vodafone eventually decided not to pursue SJS debt from Mobile Everything. But this was only after terminating Mobile Everythings dealer agreement on January 25. Under its termination clause Vodafone could hold all payments for 90 days in case of clawback.

Gullick wrote to Vodafone to say:

To withhold monies on the pretence of expected clawback is unfair and draconian. There has been no history of clawback on any of our dealer numbers.

Gullick accuses Vodafone of wanting her customer database.

Our customers were business clients. They dont cause us clawback. It was just another reason to enable Vodafone to let us suffer. It is foul play. Vodafone is now using the database we built up for years. My client base must make them over 100000 per month.

It used bullying tactics. It terminated our agreement so now it owns our database of Vodafone clients. Thats all it wanted. Small dealers are important to the network because we have had our customer databases for years. It used us to transfer our customers from Mobile Telecom to Vodafone.

It didnt want us in the first place. That goes for the other 50 dealers sacked by Vodafone.

We were just used in order to transfer our customer database over to them smoothly.

At the time of going to press no-one from Vodafone was available for comment (see Iain Graham interview P28).

Mann was finance director at ET when it went into administration with debts of about 13million. He was also part of the management buyout team that formed Global

Telecom and rescued ET from administration in May.

At the time European Telecom went into administration money that was owed to the distributor and dealers hadnt physically been paid by Orange says Mann. (Cont P2)

The administrators appreciate that the money is owed to the dealers said Mann.

We put a proposal to Orange offering to take over the debt. Under the proposal we would buy the debt from Orange and then pay what was owed to the dealers.

Orange refused and said they would give money to the administrators.

But at the moment no-one is getting any money. If Orange put a proposal together the dealers could get paid.

Orange offered to pay the administrators 100000 but they have offered the dealers nothing. We are at a loss as to why.

I dont want to upset Orange as we want to deal with them. But they arent doing anything for the dealers.

I think they can smell a quick profit. If they keep quiet for a while they see a 250000 profit for themselves which is the money owed to European Telecom.

I have never come across such behaviour in my time in the business. When we signed the T-Mobile agreement T-Mobile just wanted us to make sure that we paid out to dealers.

Orange sales head Stuart Henry told Mobile News earlier this month:

Outstanding commissions are being dealt with by the administration team and Orange Finance a position he says still remains.

Henry also says Orange is withholding payments against future clawbacks and that if Orange paid ET the money it would probably disappear into the administration hole and not to the dealers.