Singtel's Thai unit not liable to pay $323.62m to local regulator
This follows after AIS filed a lawsuit against Thailand’s NBTC.
Singtel’s Thailand associate Advanced Info Service Public Company (AIS) has been found not liable to the claim amount of $323.62m (THB7.22b), revoking National Broadcasting and Telecommunication Commission’s (NBTC) order, an SGX filing revealed.
“The ruling is based on the fact that during the remedy period, [AIS] has expenses which incurred from the service greater than the revenues generated; therefore, the NBTC's order is unlawful,” the document stated.
This follows after NBTC ordered AIS to pay revenue incurred during the remedy period of 900 MHz service after the expiration of the 900 MHz agreement with TOT Public Company Limited, made between 1 October 2015 and 30 June 2016, in the amount of $323.62m (THB7.22b).
According to the NBTC’s notification, the company is obliged to submit revenues after deducting any expenses to the NBTC Office, whilst continuing to maintain standard of services and accelerating the transfer of users.
However, as the number of users kept falling and whilst expenses to maintain and operate the service remained greater than the revenues generated, AIS has no remaining revenue to submit to the NBTC Office, the filing stated.
AIS has then filed a lawsuit to revoke NBTC’s resolution to the Central Administrative Court.
“However, the NBTC has the right to appeal to the Supreme Administrative Court within 30 days. Should there be any further significant update, the Company will inform accordingly,” Singtel said.