10/26/2016

KPPU is investigating alleged cartel of PT XL axiata TBK and PT indosat tbk

KPPU is investigating alleged cartel of PT XL axiata TBK and PT indosat tbk
techinasia.com


Business competition supervisory commission(KPPU) is to continue investigation of alleged cartel joint venture PT XL axiata tbk and PT indosat tbk. Chairman of KPPU muhammad syarkawi rauf responded over the denial of both operator of telecommunication which claimed to have gained permit from KPPU for consult process of subsidiary establishment pt one indonesia synergy. Rauf claimed KPPU has different focus of investigation with the issue of established subsidiary.
Rauf added that KPPU only intended to investigate cartel pratice within the subsidiary build by both operators.

XL rebuttal

Through the vice president corporate communication of xl turina farouk stated that the company has been always obedient to ward the regulation thus before the establishment of subsididary, the companies have consulted to related insitutions such as investment of coordianting board(BKPM), ministry of telecommunication and information technology, indonesian telecommunications regulatory body and business competition supervisory commission(KPPU). However KPPU pointed out to search for alleged monopoly by the subsidiary of both companies xl and indosat.
In aline with turina, deca rachman from indosat also claimed to have consulted with KPPU before establishing subsidiary pt one indonesia synergy.

Previously, community forum of indonesia telecommunication care reported pt one indonesia synergy to have potential of cartel monopoly practice.

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