ST Telemedia says to challenge Indonesia ruling
SINGAPORE, May 9 (Reuters) - Singapore Technologies Telemedia (ST Telemedia), a unit of state investor Temasek Holdings [TEM.UL], said on Friday it would challenge an Indonesian court's decision to uphold the anti-trust ruling on its parent.
"We will vigorously challenge through all available legal channels the court decision that was based on the groundless allegations of the KPPU," STT Chief Executive Lee Theng Kiat said in a statement, adding that STT had fully complied with all regulations and guidelines laid out by the Indonesian government when it bought its stake in Indosat in 2002.
Indonesia's anti-trust agency, KPPU, ruled on Nov. 19 that Temasek had broken competition law and that one of its mobile phone operators had charged "excessive" tariffs.
In November, ST Telemedia said it would not sell its stake in Indosat and would contest the KPPU's ruling.
Temasek and its eight telecoms units were fined 25 billion rupiah ($2.70 million) each and ordered to sell their minority stakes in either Telekomunikasi Selular (Telkomsel) or Indosat (ISAT.JK) within two years.
ST Telemedia holds a 75 percent stake in Asia Mobile Holdings, which in turn owns about 40 percent of Indonesian telecom operator Indosat. (Reporting by Jennifer Tan, editing by Neil Chatterjee) (jennifer.tan@thomsonreuters.com; +65-6403 5660; Reuters Messaging: jennifer.tan.reuters.com@reuters.net)
