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Setyembre 2, 2001  
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Globe, Smart: Taking their collusion before the very eyes of the court

September 6, 2001

FIRST, they both tried to cheat consumers. Now, they are apparently colluding again to make a court take their words hook, line and sinker.

This was the reaction of texters’ group TXTPOWER to similar motions filed by lawyers of the telecommunications oligopoly of Smart-PLDT and Globe-Ayala asking the Branch 214 of the Quezon Regional Trial Court to dismiss the class-action suit filed by the Philippine League for Democratic Telecommunications Inc. (PLDTI).

The same court issued a 20-day temporary restraining order against the much-assailed reduction in free text allocations for the at least seven million subscribers.

“The court would be well-advised to take note any possible conspiracy or collusion by the lawyers of Globe-Ayala and Smart-PLDT in trying to defeat the case against them. They did it again in brazen oligopolistic fashion,” said TXTPOWER spokesperson Anthony Ian Cruz.

“Its no different from the way the oligopoly charge consumers similar exorbitant rates and lousy services and the manner of announcing the ‘free’ text cuts and the way they later proposed a staggered implemented,” he stressed.

At the same time, Cruz bared that TXTPOWER will formally ask senators this week to initiate public hearings on the ‘free” text cuts, “in aid of legislation against oligopolies in the telecommunications industry and towards a review of the deregulation policy” for the benefit of millions of texters and cellphone users.

“Apart from a quick, pro-consumer action by the NTC action that we are now awaiting, these are perhaps the best ways to guarantee government protection of consumers from the oligopolies and arbitrary or hidden price increases.”

Cruz maintained that up to now, the two firms have “miserably failed to justify” the planned cuts on free text. “With net income soaring and with loans for their expansion funds already approved, we find no cause for them to pass on to consumers the burden of infusing capital for their own purposes.”

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