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Rogue IDD firms face crackdown

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Georgina Lee

The government is getting tougher on external telecommunications service (ETS) providers who offer IDD services without a licence, as part of efforts to placate fixed-line operators who claim 'tens of millions of dollars' of revenue is lost every year.

In a letter to fixed-line operators, Secretary for Commerce, Industry and Technology John Tsang Chun-wah said the government would help carriers recover lost IDD revenue from rogue operators.

The letter, seen by the South China Morning Post, was understood to have been sent to PCCW, Wharf T&T, New World Telecom and Hutchison Global Communications.

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It was also sent to Sin Chung-kai, the legislator representing the information technology sector.

In May Mr Sin met Au Man-ho, the director-general of the Office of the Telecommunications Authority (Ofta), to press for action.

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Mr Tsang noted Ofta had recently notified ETS providers that the penalty for providing IDD services in breach of licence conditions had been increased to $150,000 from $70,000 for the first offence, effective from August.

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