Disqualified third telco bidders file appeal at NTC, question Mislatel's franchise


Posted at Nov 09 2018 06:31 PM

The National Telecommunications Commission (NTC) opens bid documents for the country's third telco firm at the NTC headquarters, November 07, 2018. Jonathan Cellona, ABS-CBN News

MANILA – Disqualified bidders on Friday filed motions for reconsideration questioning the decision of the National Telecommunications Commission (NTC) to select a consortium of Filipino and Chinese firms as the country's provisional third telecommunications player.

Both PT&T and Sear Telecom want their documents accepted in the bid to compete against the consortium of Davao-based businessman Dennis Uy and China Telecom.

In its motion, PT&T sought the re-evaluation of its bid documents which were deemed incomplete after it failed to secure a certificate proving its "technical capability" from the NTC.

Sear Telecom and its partner Tier 1, a consortium backed by former Ilocos Sur Governor Luis "Chavit" Singson, also filed a motion for reconsideration. It had been disqualified for failure to submit a participation security fee of P700 million to the NTC.

The consortium also asked the NTC to clarify the validity of Mislatel's legislative franchise in a separate motion.

The NTC has 3 days to review the pleadings.

'Franchise in question'

Sear Telecom earlier questioned Mislatel’s franchise citing an existing “exclusive” contract with a member of its consortium. Singson on Friday presented documents at the NTC to support this claim. 

But Dennis Uy’s Chelsea Logistics Holdings on Friday asserted the validity of its legislative franchise in a disclosure addressed to the stock exchange. 

Chelsea Logistics said the NTC has published a list of telecommunications firms with existing legislative franchises where Mislatel was included. 

Based on the list revealed by the firm, Mislatel’s franchise will expire in 2023. 

Meanwhile, NOW Corp President Mel Velarde on Friday said the third telecommunications player "must succeed" to challenge the duopoly of the "real enemies" Globe Telecom and PLDT. 

NOW Corp's unit NOW Telecom and Converge ICT withdrew from the selection process minutes before the committee started reviewing documents of third telco bidders last Wednesday. 

-- with a report by Warren De Guzman, ABS-CBN News