In the period 01 January 2014 to 31 October 2015, the CNMC found that Telefonica was incorrectly labeling technical complaints from alternative operators using its local loop network as 'false alerts' and subsequently applying penalties to the operators. However, Telefonica did not sufficiently investigate the complaints and between 53.8 and 78.2 percent of those labelled as false may have been incorrectly so designated, the CNMC said. This may have caused losses for the alternative operators of several million euros, as well as affecting their image with clients.
Telefonica has two months to file a court appeal against the decision. This is the third major fine for Telefonica in as many months. In December it was fined EUR 6 million by the government of Andalucia for misleading advertising and unfair terms of a price increase for Fusion customers and in October last year the CNMC imposed a fine of EUR 5 million for other breaches in the wholesale business broadband market.
