Mexico-based mobile giant America Movil has won an appeal overturning an almost Ps12bn (US$927.5m) fine imposed upon subsidiary Radiomovil Dipsa (Telcel) by the nation’s antitrust authority.
The company, controlled by billionaire Carlos Slim, said …
Mexico-based mobile giant America Movil has won an appeal overturning an almost Ps12bn (US$927.5m) fine imposed upon subsidiary Radiomovil Dipsa (Telcel) by the nation’s antitrust authority.
The company, controlled by billionaire Carlos Slim, said in a SEC filing that the Mexican Federal Antitrust Commission (Cofeco) has revoked the fine for alleged monopolistic practices in the mobile termination market.
Cofeco issued the fine in May last year, after deciding Telcel overcharged rivals to connect to its network.
According to a Bloomberg report, America Movil had proposed certain concessions in an effort to convince Cofeco to overturn the fine. These included reducing the fees it charges rivals to connect to its network and introducing plans that allow customers to call other networks at no extra charge.
It is not year clear whether the authority has accepted these concessions although it has said it will release a statement on the matter shortly.
The decision means the parties will not have to go to court over the matter.
America Movil said in a previous statement that it would file an injunction if the fine was upheld.
America Movil was not immediately available for additional comment.
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