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In Android 2.2 from a HTC Desire Z I am frequently finding my phone disconnected from my mobile provider.
When I select my provider from the Settings -> Wireless & networks -> Mobile networks -> Network operators -> Search networks -> <My Provider> I get the message "Your SIM card does not allow a connection to this network".
The only fix I can find is to restart my phone. Problem appears to widely affect Android phones.
It appears several sites suggest preventing the phone from using 3G. I have gone into Settings -> Wireless & network -> Mobile networks -> Network Mode -> GSM only.
This appears to have fixed the issue for me. Of course this wouldn't be a solution for anybody who relies on mobile data (but my provider charges so much for data that I'm wi-fi only).
Another cause of this error message is that the country in which you are may require your IMEI to be registered with the government - if you have already registered it check whether it has been removed from the relevent list (Turkey in my case so I checked http://imei.tk.gov.tr/tr/imeisorgu.php and found it had been removed) and contact the relevent government official to get it put back on.
I don't understand why the error message refers to the SIM card - it misled me and wasted hours of my time as the problem in my case was nothing to do with the SIM card. I assume this is an Android error message - I think the message should be improved and presumably mention "IMEI" but I am not sure exactly what it should say. Perhaps others in this forum can suggest a better error message.
