MANILA - The consortium of Davao-based businessman Dennis Uy , China Telecom and local telco franchise holder Mislatel is facing questions over its qualification to be the country’s third major player in the telecom industry.

Sear Telecom, the consortium backed by Former Ilocos Sur Governor Luis “Chavit” Singson, said Mislatel has an “exclusive” binding agreement with another company.

“Gumamit sila ng prangkisa na nakapirma exclusive sa ibang company. Yan, sigurado ako dahil nakapirma exclusive sa isang company na kasamahan din namin (They used a franchise that is signed to another company. I am sure of that because it is an exclusive [deal] with a company that is with us),” he added.

Singson’s group is set to file a motion of reconsideration before the National Telecommunications Commission to raise the issue against Mislatel and to comply with the requirement it failed to produce in time for the bidding.

NTC’s selection committee disqualified Sear Telecom for failure to pay the P700 million participation security.

“Hinihintay namin ang terms and condition (We are just waiting for terms and conditions). Sabihin lang ng NTC, right away we can produce the LC (Letter of Credit) which is being required by other banks,” Singson said.

Philippine Telegraph and Telephone Corp, meanwhile, was disqualified for failure to produce a "certificate of technical capability" from other countries where it operates.

This left the team of Udenna, China Telecom and Mislatel the lone qualified bidder. The Uy consortium has been declared as the country's "provisional" third major telco.