China regulator says it firmly opposes U.S. revocation of license for Pacific Networks

Asian Tech Press (Mar. 24) -- China's technology industry regulator said Thursday it strongly opposes the U.S. revocation of Pacific Networks Corp.'s and ComNet's telecom service authority.

The Ministry of Industry and Information Technology (MIIT) issued a statement on Thursday in response to the revocation of CITIC Group Corp's domestic and international section 214 authority in the United States.

Pacific Networks Corp., wholly controlled by Chinese state-owned CITIC Group Corp via CITIC Telecom International, and its subsidiary ComNet primarily provides retail calling cards in the U.S.

The MIIT's statement is as follows:

"We note that the U.S. Federal Communications Commission (FCC) decided to revoke the 214 licenses of CITIC Telecom International's U.S. subsidiaries, ComNet (USA) LLC and Pacific Networks Corp. on local time March 16, on grounds of national security. The two companies received the FCC's order to revoke their 214 licenses on March 23, 2012.

ComNet (USA) LLC and Pacific Networks Corp. have been operating in the U.S. for many years and have been complying with U.S. laws, regulations and regulatory requirements to provide quality services to many users in the U.S. on a commercial basis.

The FCC's revocation of their 214 licenses without specifying the facts of the violations is a further generalization of national security and an abuse of state power to unreasonably suppress Chinese companies, which has seriously damaged the business environment in the United States and harmed the legitimate rights and interests of Chinese companies and global consumers, including U.S. users, to which China is firmly opposed.

The United States should withdraw its unjust decision against our enterprises, stop the wrong practice of generalizing the concept of national security and politicizing economic issues, and create a fair, unbiased and non-discriminatory environment for Chinese enterprises to invest and develop in the United States.

The Chinese government will continue to take necessary measures to safeguard the legitimate rights and interests of Chinese enterprises."

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