Gloomy news for Tiscali broadband customers following audit

Tiscali broadband customers are being warned they risk having their broadband connections cut off unless the Italian-based provider can settle its debts.

Today, independent auditors Ernst & Young gave warning of “fundamental uncertainties” on the future of Tiscali and confirmed the company could only continue to maintain operation if it successfully renegotiated significant debts with its lenders.

Of course, keen to keep the ball rolling and maintain subscriber numbers, Tiscali has responded by heavily contesting the auditors’ summary and confirming it proposes a plan to reduce debt at a shareholder meeting to be held before May:

“In the meantime the company continues to operate as normal both in Italy and in the UK both with customers and suppliers,” said a Tiscali spokesperson.

But despite company protests it’s clear things are starting to look more and more bleak for the provider.

Earlier this week, customers with email accounts on the provider’s screaming.net domain had their accounts halted after the provider failed to renew the domain name, leaving all email accounts and webspace services without a host.

If the provider fails to meet an agreement with its lenders, more than 1.8 million UK customers risk being cut off from their broadband service.