Aspiring 3rd telco sues NTC over financial requirements: Mukha kayong pera!
NOW Telecom, one of the companies aspiring to be the third telco player in the country, has sued the National Telecommunications Commission (NTC) over the terms of reference (TOR) to be used for choosing the winner.
The company filed before a Manila court on Monday (October 8) a petition for 20-day temporary restraining order and a writ of preliminary injunction on the bidding process.
In a statement, NOW Telecom accused NTC of imposing new requirements for the selection of the third telco without conducting public hearings.
Among the conditions protested by NOW Telecom include the payment of P700 million as so-called “Participation Security”; P14 to P24 billion as Performance Security; and a non-refundable “Appeal Fee” of P10 million.
A regional trial court in Manila has set the hearing for NOW Telecom’s petition on Wednesday (October 10).
In a statement issued Tuesday, Now Telecom said the new requirements not only violate existing laws “but can be declared onerous, confiscatory and potentially extortionary.”
“NOW Telecom is suing NTC to protect its public shareholders and President Rodrigo Duterte from any suspicion that he is complicit to the money making schemes in the TOR for the third telco,” NOW Corp. President and Chief Executive Officer Mel Velarde said.
Velarde urged President Rodrigo Duterte to receive the bidding documents on November 7 and choose the third telco instead of leaving the job to NTC.