While a Competition Commission ruling in its favour would have been a morale booster, Orion Telecom says it is nonetheless relieved to have control of its own case in its dispute with Telkom over anti-competitive practices.
Yesterday, the Competition Commission found there was insufficient evidence to support Orion Telecom`s allegations that Telkom has been engaging in anti-competitive behaviour. The commission decided not to refer the matter to the Competition Tribunal.
"We are, in a sense, quite relieved that the commission is no longer involved in the proceedings and that Orion now has control again," says Orion MD, Don Tredoux.
"A ruling in our favour would have been a marketing victory for us, but it wouldn`t have changed anything, since the commission doesn`t have any legal power, it would simply have made a recommendation to the Competition Tribunal."
He says Orion will no longer have to rely on others to fight its battles, since the case is now in the hands of the company`s own legal team, which can drive this matter forward with the urgency it requires.
"I always say that if you want something done properly, you must do it yourself. At least with our own legal team on the case, we won`t need to take 12 months to come to any conclusions," says Tredoux.
"I do find it funny that just a few weeks ago, Telkom`s CEO was saying that the Competition Commission had no real power, after a decision went against the monopoly, but now they are saying that this decision 'proves` they have not engaged in anti-competitive behaviour.
"I can`t see how Telkom can take any comfort from this decision, as it doesn`t actually change a thing."
Orion filed a complaint with the commission in April last year, alleging that Telkom had lured two of Orion`s clients, Standard Bank and Edgars, by offering them substantial discounts. However, the commission found there was no evidence of predatory pricing.
``Telkom has been vindicated in its stance that the company has not acted in an anti-competitive manner in granting volume and term discounts to customers who qualify for same," says Anton Klopper of Telkom`s legal services department.
According to Tredoux, Orion is not deterred by what it perceives as the commission`s lack of application and inability to get to grips with the complex issues surrounding the telecommunications industry.
"We will continue to prosecute the matter in the Competition Tribunal and will persist in obtaining the full extent of remedies available to it against Telkom as a result of its alleged misconduct. It leaves Orion to run the matter directly.
"Orion has been advised by its senior counsel and legal team that this is in no way the end of the matter and that the company`s rights to continue with the matter remain fully intact," he says.
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