Now Telecom’s radio frequency petition dismissed by CA

The Court of Appeals has dismissed Now Telecom’s petition which sought to overturn a Manila Regional Trial Court’s decision denying its application to join the bidding for a radio frequency as a new major player (NMP).

In a report by Manila Times, the DICT formed an oversight committee in 2018 to screen NMPs application for radio frequencies. The NTC, on the other hand, issued a Memorandum Circular that lays the ground rules for the NMP selection process.

Now Telecom, however, challenged the fees required for prospective bidders, which includes a PHP 700USD 12INR 1,011EUR 11CNY 87 million participation security fee, a PHP 14USD 0.24INR 20EUR 0.23CNY 2-billion to PHP 24USD 0.41INR 35EUR 0.39CNY 3-billion performance security, and a PHP 10USD 0.17INR 14EUR 0.16CNY 1-million non-refundable appeal fee, saying that it was excessive and confiscatory, and brought its case to the RTC in Manila.

The RTC dismissed the suit, saying that Now Telecom has no clear or vested right on the part of radio frequencies it sought to acquire. Now Telecom contested the RTC ruling to the Court of Appeals.

The CA dismissed the petition on May 24, and said that “nowhere in the petitioner’s legislative franchise does it show it is entitled to specific frequencies, including the radio frequency spectrum allocated to the selected NMP by virtue of the subject circular.” The court also added that an examination of Now Telecom’s legislative franchise shows that it is still subject to the rules and regulations of the NTC.

In a report by the Business World, Now Corp. said on Monday, June 7, that the CA’s decision on Now Telecom’s petition is still subject to remedies.

“NOW Corp. has been advised that NOW Telecom (Co., Inc.) has yet to receive the alleged Court of Appeals decision. Thus, it is still subject to NOW Telecom’s legal remedies and therefore, not yet final,” said the company’s statement sent to the PSE.

source: Manila Times, Business World