CA stops NTC order for telcos to refund subscribers

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Photo credit: Photo credit:[/caption] The CA’s Sixth Division has issued a temporary restraining order (TRO) as prayed for in the petition filed by Sun Cellular brand owner Digitel Philippines. In a four-page resolution dated Aug. 20, 2014, the CA stopped the implementation of the Nov. 7, 2012 and May 7, 2014 order of the NTC. In the assailed order, the NTC directed the telcos to refund 20 centavos which is an excess in their collection per “off-net SMS” because of their non-compliance of NTC Memorandum Circular 02-10-2011 issued in October 2011. In the memorandum, the NTC ordered that from P1.00, the telcos should decrease to 80 centavos their collection per “off-net SMS” or text message sent through the other networks. This was because the NTC had ordered that from a 35-centavo rate, the telcos should only impose a 15-centavo rate for the “interconnection charge.” The TRO issued by the CA will be good for 60 days and it will only take effect upon payment by the Digitel of a bond amounting to P500,000. Likewise, the CA gave the NTC a period of 10 days from notice to submit its comment on why the court should not issue a writ of preliminary injunction which would mean the indefinite restraint in the implementation of the NTC order. — PNA ]]>

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