Telecoms watchdog rules phone firms broke law

11th May 2007, Comments 0 comments

11 May 2007 , MADRID – The telecommunications watchdog said on Friday the three major mobile phone companies broke the law by making an illegal pact to raise prices.

11 May 2007

MADRID – The telecommunications watchdog said on Friday the three major mobile phone companies broke the law by making an illegal pact to raise prices.

Movistar, Orange and Vodafone all raised their prices on the same day by 5 percent.

The move was designed to reduce any change in the companies’ share prices if one put up prices more than the other at an unexpected time.

It broke a law which prohibits price-fixing of this kind.

The Telecommunications Market Commission ruled on Friday the move broke the Law for the Better Protection of Users and Consumers.

It provoked complaints from consumers’ groups and users staged days in which they asked owners of the companies’ phones not to use them, to reduced profits.

[Copyright EFE with Expatica]

Subject: Spanish news

 

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