SC denies NOW Telecom's bid to become new major telco player | ABS-CBN
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SC denies NOW Telecom's bid to become new major telco player
Supreme Court. George Calvelo, ABS-CBN News
Supreme Court. George Calvelo, ABS-CBN NewsMANILA — The Supreme Court has affirmed the rulings of the Court of Appeals (CA) and the Manila Regional Trial Court denying the application of NOW Telecom to become a new major player in the country's telecommunications industry.
- MANILA — The Supreme Court has affirmed the rulings of the Court of Appeals (CA) and the Manila Regional Trial Court denying the application of NOW Telecom to become a new major player in the country's telecommunications industry.
In the decision of the 1st Division promulgated on January 31, 2024, the high court denied the petition for review on certiorari filed by NOW Telecom Company, Inc. against the National Telecommunications Commission (NTC).
In the decision of the 1st Division promulgated on January 31, 2024, the high court denied the petition for review on certiorari filed by NOW Telecom Company, Inc. against the National Telecommunications Commission (NTC).
The RTC had earlier ruled that NOW Telecom had no clear or vested right over radio frequencies it sought to possess as it has yet to meet the financial yardstick necessary for it to participate in the selection process.
The RTC had earlier ruled that NOW Telecom had no clear or vested right over radio frequencies it sought to possess as it has yet to meet the financial yardstick necessary for it to participate in the selection process.
NOW Telecom had challenged the circular issued by the NTC which includes provisions such as requiring bidders to post a participation security amounting to P700 million, among others.
NOW Telecom had challenged the circular issued by the NTC which includes provisions such as requiring bidders to post a participation security amounting to P700 million, among others.
NOW Telecom eventually brought its case before the CA, which also held that the company failed to justify the issuance of a writ of preliminary injunction against the NTC.
NOW Telecom eventually brought its case before the CA, which also held that the company failed to justify the issuance of a writ of preliminary injunction against the NTC.
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The SC stressed the contention of the CA that NOW Telecom was a mere prospective bidder at the time of its application for the issuance of an injunction.
The SC stressed the contention of the CA that NOW Telecom was a mere prospective bidder at the time of its application for the issuance of an injunction.
“In fact, NOW Telecom admitted that when the complaint was filed, it has yet to form a consortium to qualify under the subject circular as a participant with a combined or aggregate capital of P10 billion,” the court said in the decision penned by Associate Justice Rodil Zalameda.
“In fact, NOW Telecom admitted that when the complaint was filed, it has yet to form a consortium to qualify under the subject circular as a participant with a combined or aggregate capital of P10 billion,” the court said in the decision penned by Associate Justice Rodil Zalameda.
The high court also stressed that the use of radio frequencies is only a privilege and not a right, which is subject to compliance with relevant laws, rules, and regulations.
The high court also stressed that the use of radio frequencies is only a privilege and not a right, which is subject to compliance with relevant laws, rules, and regulations.
The SC also stated that the injunctive relief sought by NOW Telecom has been rendered moot and academic as Mindanao Islamic Telephone Company, Inc. (MISLATEL) was already selected as the new major telco player
The SC also stated that the injunctive relief sought by NOW Telecom has been rendered moot and academic as Mindanao Islamic Telephone Company, Inc. (MISLATEL) was already selected as the new major telco player
“In this case, the act sought to be restrained by NOW Telecom has already been done,” the court said.
“In this case, the act sought to be restrained by NOW Telecom has already been done,” the court said.
MISLATEL rebranded itself as DITO Telecommunity, which is owned by Davao-based businessman Dennis Uy and China Telecom.
MISLATEL rebranded itself as DITO Telecommunity, which is owned by Davao-based businessman Dennis Uy and China Telecom.
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