Wind might be gone in 45 days unless government can do something

Ottawa's Globalive decision overturned by court

A federal court has struck down the 2009 government decision that allowed Globalive to launch its Wind Mobile wireless brand.

The Canadian Radio-television and Telecommunications Commission had originally found Globalive's complicated ownership structure — it is majority-funded by Egyptian billionaire Naguib Sawiris's Orascom empire — was in breach of Canada's limits on foreign ownership.

But the cabinet overruled that decision in December 2009, paving the way for the company's Wind Mobile launch that same month.

On Friday, Federal Court Justice Roger Hughes found Ottawa's move was based on "errors of law" and ruled it null and void.

He also ordered a 45-day stay in the ruling, meaning the company has time to appeal and continue to operate in the interim.

"We are very disappointed with this decision," Globalive chairman Anthony Lacavera said. "We are examining our options but this is not over yet. We don't intend to back down."

Since its launch a little more than a year ago, Wind has already accumulated 250,000 customers, he noted.

Industry Minister Tony Clement said the government is studying the ruling and examining its options. "Our [government] stands with consumers who want more competition," he said in a tweet.

The case was brought by Wind competitor Public Mobile.

"We believe cabinet's decision is unfair to other wireless carriers, especially new entrants like Public Mobile that have played by the rules and secured substantial Canadian investment," Public Mobile CEO Alek Krstajic said in launching the suit.