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Indosat denies cartel allegations amid KPPU investigation
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The Business Competition Supervisory Commission (KPPU) are currently investigating telecommunications operators Indosat Ooredoo and XL Axiata for suspected cartel practices. The KPPU had summoned Indosat to its headquarters in Jakarta for questioning on Oct. 17. (Indosat/File)
T
he country’s second largest mobile phone provider, Indosat, has rejected allegations of cartel practices made by the business competition watchdog in its preliminary investigation, a company spokesperson has said.
“The allegations of cartel practices against Indosat Ooredoo are untrue. Our business has never been involved with such practices,” Deva Rachman GH Corp Communications Indosat Ooredoo told The Jakarta Post on Friday.
Business Competition Supervisory Commission (KPPU) head Syarkawi Rauf said earlier that a task force was conducting a preliminary investigation into suspected cartel practices committed by telecommunications operators XL Axiata and Indosat Ooredoo.
“We are still collecting information. Our focus is to question the motive of establishing the joint venture One Indonesia Synergy [OIS],” Syarkawi said on Thursday.
Deva argued that OIS’s had been established through consultation with the KPPU to ensure the company did not violate the rules of competition, as stated in Law No. 5/1999.
“The [previous] consultation concluded that PT OIS had not violated the law,” she said, adding that Indosat Ooredoo had obeyed all regulations and applied good corporate governance principles.
On Tuesday, the KPPU summoned XL Axiata representatives to its headquarters in Jakarta to gain more information about the case. Indosat Ooredoo had answered its summons a day before. (dan)
