Movistar Sues ETB for US$24.3mn for Alleged Contract Breach

Movistar Colombia, a unit of Spain's Telefónica, is suing municipally owned telco ETB for 57.9bn pesos (US$24.3mn) for allegedly failing to honor a 1998 interconnection agreement, Movistar told the country's financial regulator.

According to the legal document, Movistar has charged ETB of failing to comply with the contract that allowed Movistar to use ETB's long distance network to connect international calls.

Movistar also alleges that ETB failed to recognize maximum per-minute charges established in two resolutions passed by Colombia's telecom regulation commission, CRT, for which Movistar wants to recuperate the difference.

An arbitration court at Bogotá's industry association will handle the case.

BNAmericas.com"

Posted to the site on 8th September 2006