Telmex May Face Sanctions in Mexico Agency Ruling, Reforma Says

Telefonos de Mexico SAB should face sanctions for failing to comply with phone interconnection rules, Mexico’s Federal Telecommunications Commission told the nation’s ministry of communications and transportation, Reforma newspaper reported today.

Phone carriers Telefonica SA, Axtel SAB and Marcatel SA proposed that the government apply sanctions, the newspaper said, citing an interview with Rafael del Villar, a member of the telecommunications commission. The ministry will have the final decision on sanctions, del Villar told Reforma.

The sanctions would address failures by Telmex to forge contracts with other carriers under the terms of its license, the newspaper said. They also would apply to actions by Telmex that affected call quality or interfered with other carriers’ ability to offer phone service, Reforma said.

A Telmex official who can’t be identified under company policy declined to comment to Bloomberg News.

To contact the reporter on this story: Crayton Harrison in Mexico City at tharrison5@bloomberg.net

To contact the editor responsible for this story: Peter Elstrom at pelstrom@bloomberg.net