{"id":332514,"date":"2025-06-05T06:36:30","date_gmt":"2025-06-05T05:36:30","guid":{"rendered":"https:\/\/www.ncr-iran.org\/en\/?p=332514"},"modified":"2025-06-05T06:36:30","modified_gmt":"2025-06-05T05:36:30","slug":"telecom-privatization-or-regime-capture-corruption-behind-irans-tci-deal","status":"publish","type":"post","link":"https:\/\/www.ncr-iran.org\/en\/news\/economy\/telecom-privatization-or-regime-capture-corruption-behind-irans-tci-deal\/","title":{"rendered":"Telecom Privatization or Regime Capture? Corruption Behind Iran\u2019s TCI Deal"},"content":{"rendered":"<figure id=\"attachment_327671\" aria-describedby=\"caption-attachment-327671\" style=\"width: 1000px\" class=\"wp-caption alignnone\"><img decoding=\"async\" class=\"wp-image-327671 size-full\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2025\/01\/iran-rasht-itc-retirees-13012025.jpg\" alt=\"\" width=\"1000\" height=\"562\" srcset=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2025\/01\/iran-rasht-itc-retirees-13012025.jpg 1000w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2025\/01\/iran-rasht-itc-retirees-13012025-300x169.jpg 300w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2025\/01\/iran-rasht-itc-retirees-13012025-768x432.jpg 768w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2025\/01\/iran-rasht-itc-retirees-13012025-747x420.jpg 747w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2025\/01\/iran-rasht-itc-retirees-13012025-150x84.jpg 150w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2025\/01\/iran-rasht-itc-retirees-13012025-696x391.jpg 696w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-327671\" class=\"wp-caption-text\">Retirees of the Iran Telecommunication Company protested on January 13, 2025<\/figcaption><\/figure>\n<p style=\"text-align: justify;\">The 2009 privatization of the Telecommunication Company of Iran (TCI), the country&#8217;s largest telecommunications provider, was billed as a landmark in Iran\u2019s economic reform. In reality, it became a textbook case of regime-driven corruption and a major expansion of the economic empire controlled by the regime\u2019s Islamic Revolutionary Guard Corps (<a href=\"https:\/\/www.ncr-iran.org\/en\/news\/terrorism-a-fundamentalism\/inside-irans-army-of-terror-and-oppression-revolutionary-guards-irgc-part-2\/\" target=\"_blank\" rel=\"noopener\">IRGC<\/a>).<\/p>\n<h3 style=\"text-align: justify;\">A Controversial Privatization<\/h3>\n<p style=\"text-align: justify;\">Founded in 1971, TCI held a near-monopoly over Iran\u2019s fixed-line telephony, DSL, and data services. Through its mobile subsidiary, MCI, it also commanded a significant share of Iran\u2019s mobile telecommunications market. When <a href=\"https:\/\/www.eghtesadnews.com\/%D8%A8%D8%AE%D8%B4-%D8%A8%D9%88%D8%B1%D8%B3-38\/155836-%D9%85%D8%AE%D8%A7%D8%A8%D8%B1%D8%A7%D8%AA-%D8%A7%DB%8C%D9%86%DA%AF%D9%88%D9%86%D9%87-%D8%AE%D8%B5%D9%88%D8%B5%DB%8C-%D8%B4%D8%AF\" target=\"_blank\" rel=\"noopener\">TCI was privatized<\/a> in 2009, a controlling stake\u201450% plus one share\u2014was sold for $7.8 billion to the Mobin Trust Consortium. This marked the largest transaction in the history of Iran\u2019s stock exchange.<\/p>\n<p style=\"text-align: justify;\">However, far from being a move toward a free market, the deal transferred control of a vital infrastructure from the state to a consortium tied to Iran\u2019s military and regime elite.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\"><a href=\"https:\/\/twitter.com\/hashtag\/IranProtests?src=hash&amp;ref_src=twsrc%5Etfw\">#IranProtests<\/a>: Telecommunication Retirees and Oil <a href=\"https:\/\/twitter.com\/hashtag\/Workers?src=hash&amp;ref_src=twsrc%5Etfw\">#Workers<\/a> Rally Amid Worsening Economic Crisis<a href=\"https:\/\/t.co\/OfwZuaAAfo\">https:\/\/t.co\/OfwZuaAAfo<\/a><\/p>\n<p>&mdash; NCRI-FAC (@iran_policy) <a href=\"https:\/\/twitter.com\/iran_policy\/status\/1871453486145294361?ref_src=twsrc%5Etfw\">December 24, 2024<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p style=\"text-align: justify;\">\n<h3 style=\"text-align: justify;\">IRGC\u2019s Economic Arm: Mobin Trust Consortium<\/h3>\n<p style=\"text-align: justify;\">The Mobin Trust Consortium (Etemad-e-Mobin) is no ordinary business entity. It was created in 2009 by a coalition of companies affiliated with the IRGC and regime\u2019s Supreme Leader Ali Khamenei. These include the IRGC Cooperative Foundation, the Mostazafan Foundation, and the Execution of <a href=\"https:\/\/www.reuters.com\/investigates\/iran\/\" target=\"_blank\" rel=\"noopener\">Imam Khomeini\u2019s Order<\/a> (EIKO\/Setad). Rather than ushering in competition, the privatization simply shifted power from government ministries to shadowy regime-affiliated organizations.<\/p>\n<p style=\"text-align: justify;\">The privatization was riddled with red flags. The only viable competitor in the bidding process, Pishgaman Kavir Yazd Cooperative, was abruptly disqualified on vague \u201csecurity grounds.\u201d This left the IRGC-linked Mobin Trust as the sole serious bidder\u2014effectively turning the auction into a formality.<\/p>\n<h3 style=\"text-align: justify;\">Corruption, Mismanagement, and Deaths<\/h3>\n<p style=\"text-align: justify;\">Beyond the flawed bidding process, other alarming issues emerged. Payment delays by the consortium raised concerns in parliament. Then came the suspicious deaths of Majid Solaimanipour, the CEO of TCI\u2019s investment firm, and his wife, who were both reportedly killed by a &#8220;gas leak.&#8221; The circumstances of their deaths were widely viewed as suspicious.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Continuation of retired telecommunication workers protests amid growing popular anger against the Iranian regime <a href=\"https:\/\/t.co\/b7srXKCU6Q\">https:\/\/t.co\/b7srXKCU6Q<\/a><\/p>\n<p>&mdash; People&#39;s Mojahedin Organization of Iran (PMOI\/MEK) (@Mojahedineng) <a href=\"https:\/\/twitter.com\/Mojahedineng\/status\/1916958418457284762?ref_src=twsrc%5Etfw\">April 28, 2025<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p style=\"text-align: justify;\">Retired TCI employees have also repeatedly protested mismanagement and accused Mobin Trust and its allies of plundering pension funds. These protests underscore a wider grievance: regime-affiliated institutions are enriching themselves at the expense of workers and retirees.<\/p>\n<h3 style=\"text-align: justify;\">Telecom as a Tool of Repression<\/h3>\n<p style=\"text-align: justify;\">Control over TCI has also given the regime extensive <a href=\"https:\/\/citizenlab.ca\/2023\/01\/uncovering-irans-mobile-legal-intercept-system\/\" target=\"_blank\" rel=\"noopener\">powers over surveillance<\/a> and censorship. With the IRGC\u2019s influence over Iran\u2019s telecommunications backbone, TCI became a key asset in monitoring internet activity, restricting access, and silencing dissent.<\/p>\n<h3 style=\"text-align: justify;\">Exit in Name Only<\/h3>\n<p style=\"text-align: justify;\">In 2018, under pressure from Supreme Leader Khamenei and then-president Hassan Rouhani, the IRGC claimed it was divesting from the telecommunications sector. The IRGC Cooperative Foundation formally exited the Mobin Trust Consortium. Yet, this did not dismantle regime control. Other entities such as Setad (EIKO)\u2014directly under Khamenei\u2019s authority\u2014remain in place, ensuring continued regime dominance in the sector.<\/p>\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">March 17\u2014Sanandaj, western Iran<br \/>Retirees of the Telecommunication Company of Iran (TCI) resume rallies to protest corrupt management decisions and demand higher pensions and other basic needs.<a href=\"https:\/\/twitter.com\/hashtag\/IranProtests?src=hash&amp;ref_src=twsrc%5Etfw\">#IranProtests<\/a><a href=\"https:\/\/t.co\/qITgj63l16\">pic.twitter.com\/qITgj63l16<\/a><\/p>\n<p>&mdash; People&#39;s Mojahedin Organization of Iran (PMOI\/MEK) (@Mojahedineng) <a href=\"https:\/\/twitter.com\/Mojahedineng\/status\/1901673654368280887?ref_src=twsrc%5Etfw\">March 17, 2025<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p style=\"text-align: justify;\">The TCI &#8220;privatization&#8221; was not about liberalizing Iran\u2019s economy, but about consolidating regime power through economic capture. Entities like the Mobin Trust Consortium served as instruments for the IRGC and Khamenei to take control of strategic sectors under the guise of privatization. Instead of fostering competition, it empowered a network of unaccountable elites, enabled censorship and surveillance, and deepened corruption across Iran\u2019s telecommunications infrastructure.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The 2009 privatization of the Telecommunication Company of Iran (TCI), the country&rsquo;s largest telecommunications provider, was billed as a landmark in Iran&rsquo;s economic reform. In reality, it became a textbook [&#8230;]<\/p>\n","protected":false},"author":22,"featured_media":327671,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45,10],"tags":[269],"class_list":{"0":"post-332514","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-news","8":"category-economy","9":"tag-iran-economy"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Telecom Privatization or Regime Capture? 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