Spain - unlawful mobile price increases

Spanish authority rules mobile fee increase unlawful: report

A probe by Spain's competition authority has ruled that mobile telephone operators Telefonica, Orange and Vodafone unlawfully agreed to raise their fees at the same time last year, Spanish media reported Wednesday.

The CNC authority sent copies of its findings to the three operators, the Europa Press news agency reported citing sources close to the three firms. It will decide later whether to fine the firms, it said.

The three companies now have 15 days to present evidence that contradicts the competition authority's conclusions.

The CNC opened its probe into the rate increase which came into effect on March 1, 2007, in October of that year following a complaint from a consumer rights group.

The rate increase coincided with the coming into effect of a new law that banned mobile operators from rounding up bills and forced them to provide billing by the second.

The three companies agreed to increase their rates at the same time to make up for the loss in revenues that the law would cause, the consumer rights' group contended.