Smart urges swift NTC action on frequency issue

MANILA, Philippines - Smart Communications has urged the National Telecommunications Commission (NTC) to immediately take action on its complaint against Altimax Broadcasting and Globe Telecom subsidiary Innove Communications after Altimax failed to file a response in the scheduled hearing yesterday and sought another postponement to Oct. 27.

PLDT’s wireless subsidiary is asking the NTC to issue a cease and desist order that would stop Globe from using the broadcast frequencies that had been assigned to Altimax.

The NTC has set the next hearing for Nov. 9, warning the respondents that there would be no further extension of the deadline to filing of their joint answer.

“The continuing inaction of the NTC on Smart’s request for the immediate issuance of a cease and desist order on the unauthorized use of radio frequencies by Altimax and Globe constitutes an undue benefit in favor of a private party which is unlawful and actionable under applicable law,” PLDT’s head for regulatory and policy affairs Ray Espinosa said.

“We are perplexed by the inaction of the NTC since this obviously results in great prejudice to the government given the substantial loss of revenues involved and undermines the integrity of the public service. We reiterate our call for the NTC to issue the cease and desist order and thereby perform its sworn duty to manage and protect the country’s scarce radio frequency resources for the benefit of the public good,” he added.

Smart said these frequencies had been granted Altimax for the purpose of offering broadcast TV services. However, Globe is using these to offer broadband Internet services under a 2009 lease agreement with Altimax.

In its complaint filed Sept. 8, Smart alleged that the arrangement was patently illegal on the grounds that Altimax had long lost its congressional franchise and provisional authority because of its failure to roll out its wireless cable TV services over the past 10 years.

Smart has asked the NTC to recall the 30 megahertz of frequencies assigned to Altimax and to make these available for application by qualified telecoms operators.