Mexico fines Dish and Telmex for undisclosed deals
The Federal Institute of Telecommunications (IFT) in Mexico has fined satellite TV provider Dish Mexico and Carlos Slim’s fixed-line unit Telmex for failing to divulge, in full, a series of agreements between the two companies.
The Mexican regulator claims that the two companies have a number of contracts that allegedly amount to a merger, and neither had informed it of them.
Dish Mexico, a joint venture between Mexico’s MVS Comunicaciones and EchoStar, was charged the majority of the fine at 43 million pesos ($2.95 million), with Slim’s Telmex receiving a penalty of 14.4 million pesos.
The contracts between Dish and Telmex would see a single bill printed for shared services from the two companies, but competitors have reportedly complained to the IFT that the deal violates terms of Telmex’s concession, which states that the company cannot offer broadcast or pay-TV services.
In a statement Dish Mexico said that the fine was “unjustified”.
“Telmex has never participated in the operations, management of handling of Dish Mexico,” the company added.
However, the IFT said that the agreements had not damaged the market, and América Móvil has said that it will appeal the fine.