Telcos questions regulators over PHP 100,000 daily fines

An industry group has questioned the National Telecommunications Commission (NTC) for imposing hefty PHP 100K daily fines against the country's three major telco players over their alleged poor mobile services, saying the move raised "serious due process concerns."

File photo: Globe, Smart, DITO logos w/ NTC in the background

Regulatory uncertainty?

In a statement, the Philippine Chamber of Telecommunication Operators (PCTO) expressed "grave concern" over the commission’s sanctions against Smart Communications Inc., Globe Telecom Inc. and DITO Telecommunity Corp.

PCTO stressed that the regulators pursued the fines without providing adequate time for the operators to challenge their findings.

It likewise claimed that the NTC failed to "sufficiently disclose" the methodologies or technical bases to determine compliance.

The NTC earlier said that the penalty would take effect beginning September 25 and continue until the players address the issues, particularly noted in Metro Manila.

But the three telcos maintained that they received the show-cause orders only on September 28.

While the law authorizes the NTC to investigate and undertake specified regulatory/compliance measures without previous hearing, it does not constitute a general exemption from administrative due process or a blanket authority to impose punitive penalties without notice and opportunity to be heard, the PCTO said.

What do you guys think?