A COMPLAINT against NOW Telecom Company, Inc. (NOW Telecom) has been filed before the National Telecommunications Commission (NTC) claiming non-operation and inefficient use of its assigned frequency.
The complaint also seeks the recall of radio frequencies assigned to NOW Telecom for non-payment of Spectrum User Fees (SUF).
Mirzilyn Abarabar, Marlowe Zarate and Maria Veronica Aquino alleged in their complaint that NOW Telecom failed to fulfill its promise to the public and despite many years, “there were no developments done outside Metro Manila much more any improvements made in Metro Manila.”
“It is respectfully prayed that this Honorable Commission recalls all the radio frequencies assigned to the respondent, collect the required SUF and penalties,” the complainants pleaded.
NOW Telecom is a holder of a congressional franchise to operate as a public teleco under Republic Act (RA) No. 10972 for 25 years. The NTC had issued a Provisional Authority (PA) in favor of NOW Telecom to install, operate and maintain a nationwide mobile telecommunications system.
The complaint said that contrary to its submitted projections to the NTC, only 10 stations in six sites out of the total 2,036 stations in 245 sites were installed.
The complainants added that based on its latest audited financial statement, NOW Telecom’s only source of income was actually derived from NOW Corporation, a publicly listed company that does not possess a congressional franchise to operate telecommunications service.
In what appears to be a value-added service agreement, NOW Corporation allegedly uses NOW Telecom’s network and PA, along with its other affiliated companies Newsnet and NOW Cable, and actively operates as the public telecommunications company.
The complaint also alleged that NOW Telecom evaded the payment of proper SUF, depriving the government of funds needed to implement RA 10929, the Free Internet Access in Public Places Act.
“Payment of the required SUF is one of the conditions contained in practically all the CPCNs/Pas issued by the NTC as also required by RA 7925,” the complainant said, referring to the Public Telecommunications Policy of the Philippines.
NOW Telecom was earlier featured in news reports touting itself as the Third Telco but failed to participate in the New Player Program in 2018. Its parent firm, NOW Corporation, was also penalized by the Philippine Stock Exchange for its misleading representation that it is the fourth telco in the country, as published in major newspapers.
