| Reliance Communications, on behalf of its subsidiary Flag Telecom, has also accused VSNL of "monopolistic and anti-competitive practices." |
| In a strongly-worded statement to the stock exchanges, Reliance Communications said, "This action of VSNL is designed to delay the implementation of (an international) award and with a view to continuing its monopolistic and anti-competitive practices in India, which will harm the ultimate users of international capacity such as ITeS/BPO due to exorbitant bandwidth prices maintained by VSNL." |
| The company was responding to a statement sent by VSNL to the bourses on September 8 that the Tata group company had filed a writ petition in The Netherlands. VSNL was seeking to set aside an ICC arbitration tribunal order directing it to provide landing station access in Mumbai to Flag. |
| Reliance Communications said that "Flag has already upgraded FEA cable from UK to UAE with the co-operation of the relevant landing parties" and alleged that it "was unable to proceed further because of VSNL's anti-competitive attitude designed at maintaining its monopoly of the Indian Market". |
| When contacted a VSNL spokesperson said: "VSNL firmly believes that the court is really the right authority to decide what is permissible under Dutch law. It is unfortunate that the stock exchanges are being used to make baseless allegations. VSNL maintains that its bandwidth prices have always been reasonable and even more so after its recent reductions by upto 40 per cent". |
| Hitting out at VSNL's stance against upgradation of Flag upgrade, Reliance said: "Flag has already carried out the upgrading of FEA cable from UK to UAE with the co-operation of the relevant landing parties, but has been unable to proceed further because of VSNL's anti-competitive attitude designed at maintaining its monopoly in the Indian Market." |
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