Regional court throws out Telefónica O2 CR complaint

28 Sep 2006

The Regional Court in Brno yesterday threw out a complaint filed by incumbent operator Telefónica O2 Czech Republic (formerly Cesky Telecom) against a fine of CZK205 million (USD9.18 million) imposed on it by the Czech anti-trust authority UOHS for abuse of its dominant position. The former monopoly had been fined for preventing customers from switching to rival service providers by offering them tariff plans with free minutes. Telefónica O2 Czech Republic withdrew the tariffs in the spring of 2005, but has since been ordered to pay CZK400 million in fines for abusing its dominant position and breaching competition laws. The Supreme Administrative Court is now its last hope in terms of appealing the decision. A spokesman for the telco, Martin Zabka, has confirmed that it is considering further legal action.