ADVANC Announces a Court’s Decision in Revoking NBTC’s Order to Pay ฿7.2Bn to TOT
ADVANC Announces a Court’s Decision in Revoking NBTC’s Order to Pay ฿7.2Bn of Revenue Incurred during the Remedy Period of 900 MHz Service to TOT.
Advanced Info Service Public Company Limited (ADVANC) stated that the Central Administrative Court has revoked the NBTC’s order 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 in the amount of Baht 7,221 million.
Reference is made to resolution of the National Broadcasting and Telecommunication Commission (NBTC) ordering Advanced Info Service Public Company Limited (ADVANC) 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, which is between October 1, 2015 to June 30, 2016 in the amount of Baht 7,221 million. According to the NBTC’s notification, ADVANC is obliged during the remedy period of 900MHz service, to submit revenues after deducting any expenses to the NBTC Office while continuing to maintain the standard of services and accelerating the transfer of users.
However, as the number of users continued decreasing while expenses to maintain and operate the service remained greater than the revenues generated, the company has no remaining revenue to submit to the NBTC Office. ADVANC, therefore, filed a lawsuit to revoke NBTC’s resolution to the Central Administrative Court.
ADVANC stated that on 12 June 2020, the Central Administrative Court has revoked the NBTC’s order resulting in the company not liable to the claim amount of Baht 7,221 million. The ruling is based on the fact that during the remedy period, ADVANC has expenses which incurred from the service greater than the revenues generated; therefore, the NBTC’s order is unlawful.
However, the NBTC has the right to appeal to the Supreme Administrative Court within 30 days. Should there be any further significant update, ADVANC will inform accordingly.