In a press release, AIS said no telecom operators had paid a lower concession fee but the same amounts went to the government under the telecom excise law, which has already been revoked by this government.

The company added that what had been changed by the policy was that, instead of paying the fees fully and directly to TOT or CAT Telecom, which then passed on the fee to their 100-per-cent shareholder the Finance Ministry, the telecom operators had paid part of the concession fee directly to the Excise Department.

On Tuesday, the AEC resolved to investigate and charge Thaksin for his government's decision to implement the telecom excise law in February 2003, which the panel viewed as beneficial to the Shin Corp group.

AIS is the flagship of Shin, which was founded by the Shinawatra family.

The AEC also alleged that the Thaksin Cabinet made the February 2003 resolution improperly and without any legal provision to support it.

The committee said the policy was mainly aimed at discouraging other firms from entering the local telecom market as they would be subject to the telecom excise, as well as the licence fee of the National Telecommunications Commission.

The telecom excise law saw the fixed and cellular telephone operators paying 2 per cent and 10 per cent respectively out of their concession fees to the Excise Department, and the remainder of the fee to their concession owners, TOT or CAT.

The two state agencies have alleged that this affected them as they used to receive the full concession fees in the pre-excise era. TOT and CAT also had to pay the excise duty for the first time, like their concessionaires.

Telecom Reporters

The Nation