Russian mobile phone service giant MTS says its subsidiary in Uzbekistan has filed for bankruptcy.
MTS officials said the decision was brought about by the inability of its Uzdunrobita Company to pay a $600 million fine for tax evasion.
Uzbekistan canceled Uzdunrobita's operating licenses.
The company denied any wrongdoing, but in August the Tashkent Criminal Court imposed three-year suspended sentences on four Uzdunrobita managers.
In September, the court confiscated the subsidiary's property.
In November, the Tashkent City Court reversed the September ruling to seize Uzdunrobita's assets after Russian authorities confiscated a Moscow apartment worth $10 million belonging to Gulnara Karimova, the daughter of Uzbekistan's president.
The court actions affected millions of mobile-phone users in Uzbekistan who were without service for weeks last summer.
MTS officials said the decision was brought about by the inability of its Uzdunrobita Company to pay a $600 million fine for tax evasion.
Uzbekistan canceled Uzdunrobita's operating licenses.
The company denied any wrongdoing, but in August the Tashkent Criminal Court imposed three-year suspended sentences on four Uzdunrobita managers.
In September, the court confiscated the subsidiary's property.
In November, the Tashkent City Court reversed the September ruling to seize Uzdunrobita's assets after Russian authorities confiscated a Moscow apartment worth $10 million belonging to Gulnara Karimova, the daughter of Uzbekistan's president.
The court actions affected millions of mobile-phone users in Uzbekistan who were without service for weeks last summer.
