The Argentinean government has warned that it will seek to cancel Telecom Argentina’s operating licence if an antitrust dispute gets embroiled in the courts.
The government plans to appeal an injunction issued last week by an Argentine court, which suspended a government set timetable that would ensure the carrier’s shareholders, including Telecom Italia would to sell their stakes.
The trouble erupted last week as Telecom Italia also announced that it would appeal against an Argentine Competition Authority order which had ruled that Telecom Italia had too much power in the local telecom market.
The operator has indirect ties to Telefonica SA, which controls Telecom Argentina's main competitor, Telefonica de Argentina.
Planning Minister Julio De Vido held a press conference yesterday stating the government would not be intimidated. "Let no one be confused, our hand will not waver to do what needs to be done if these legal chicaneries continue," De Vido said.
Telecom Italia has yet to comment on the latest turn of events.
"If the government's intentions don't prosper in the judicial field, we'll almost certainly go to Congress and ask them to take all measures to return the license and operation to the government," De Vido added.