DTAC avoids ownership litigation for now

13 Jul 2011

Thailand’s second largest cellco by subscribers DTAC has avoided legal action over alleged breaches of foreign ownership rules for the time being, writes TelecomAsia. The government’s Business Development Department reportedly resisted a directive from the commerce ministry to file a lawsuit against the mobile operator on the basis that its ownership structure broke the law restricting foreign ownership of telecoms companies to 49%. The minister involved has since insisted that his letter to the department had been misinterpreted, while the department’s findings in the DTAC case will instead be sent to the police to determine whether the law has been broken, according to the Bangkok Post. Cellular rival True Move originally filed a criminal complaint alleging that foreign companies own more than 70% of DTAC, which is controlled by Norway’s Telenor via a nominee holding structure.

Thailand, Digital Total Access Communication (DTAC)