PLDT duns DITO for P429-M debt | Inquirer Business

PLDT duns DITO for P429-M debt

Another corporate entity owned by Davao-based businessman Dennis Uy is being compelled to settle a multimillion-peso obligation—and it has to be paid within 30 days to avoid further consequences.

Pangilinan-led PLDT Inc., in a disclosure on Friday, has demanded DITO Telecommunity Corp. to pay P429.73 million for the former’s unpaid contracted services provided to the third telco player.

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The telco giant said it had “fully performed and delivered” services “relating to the building and provisioning of transmission facilities that DITO required and is using for the delivery of telecommunication services to subscribers.”

PLDT said it had issued a notice of material breach and demand for payment against DITO. The Dennis Uy-owned company was given 30 days, or until Nov. 4, to pay its debts. “[Otherwise], PLDT will exercise all of its rights under law and contract to protect its interests, including suspension or termination of the parties’ service agreement,” the Pangilinan-led company said.

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DITO has yet to issue a statement as of press time.

In February 2021, the telco companies inked an agreement to build a transmission facility designed to handle the interconnection of their subscribers. This deal allows their users to call and send messages to each other. The third telco player flagged PLDT’s wireless unit Smart and Globe Telecom Inc. in August for lack of interconnection capacity that was limiting DITO users’ calls to the subscribers of the two bigger players. The Philippine Competition Commission said it would hold a preliminary inquiry to look into the complaints by DITO.

Mounting woes

Smart and Globe, however, called on DITO to address first the fraudulent calls detected going through the latter’s network. DITO said it was a victim as well because these calls were made by third parties.

Globe even asked the National Telecommunications Commission to compel DITO to pay P622 million in penalties because of the fraudulent calls that violated their interconnection deal.

Prior to this issue, a Batangas court ruled in favor of Lucio Tan-led Absolut Distillers last month to collect P157 million from the Davao-based businessman’s Phoenix Petroleum Philippines for the latter’s non-payment of bioethanol.

Garnishment notices, which have frozen the bank accounts of Phoenix, were also issued against its depository banks, including BDO Unibank Inc., Philippine National Bank, Metropolitan Bank & Trust Co., Bank of the Philippine Islands, among others.

Uy was recently in hot water for accumulating P274 million worth of debt involving its Clark Global City Project but was able to settle it before defaulting.

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TAGS: Debt, Dito Telecommunity Corp., PLDT Inc.
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