“NOW Corporation clarifies that it is not a party to the Court of Appeals case referred to in the news article which involves NOW Telecom Company, Inc., one of its affiliate companies. As it is not a party to said case, NOW Corporation has no knowledge of the details surrounding the alleged Court of Appeals decision,” said Now in a statement.
NOW was asked by the Philippine Stock Exchange to comment on news reports that the Court of Appeals has rejected NOW Telecom’s appeal to scrap the National Telecommunications Commission’s circular requiring aspiring new major players (NMP) in the telecom industry to put up between P14 billion and P24.7 billion in participation and performance securities.
The CA upheld the November 2018 ruling of the Manila Regional Trial court which ruled that NOW Telecom was not exempted from the NTC circular.
NOW Telecom filed the case in court after it withdrew from the bidding for the third telco player (which was won by Dito Telecommunity of bilyonaryo Dennis Uy) because it could not meet the NTC’s financial requirements.
Curiously, NOW’s press releases have regularly covered updates on its telecom unit, including its infamous declaration that NOW Telecom was recognized by the NTC as the “country’s fourth telco.” The NTC vehemently denied this claim as having no basis. The PSE penalized NOW for making such a bogus claim.
NOW said it has been advised that NOW Telecom has yet to receive the “alleged” Court of Appeals decision. “Thus, it is still subject to NOW Telecom’s legal remedies and therefore, not yet final. Further, the legal issues raised in the case are still covered by the sub judice rule which restricts comments and disclosures on legal issues in pending judicial proceedings,” said NOW.