Major international operators China Mobile, NTT Docomo of Japan and South Korea’s SK Telecom are reportedly in contact with the Thai government over plans to take control of the country’s largest operator if it defaults on a multi-billion dollar bill owed to the state. It was reported at the beginning of the month that Thai state-owned operator TOT has demanded THB214.7 billion (US$7 billion) in unpaid fees from the country’s privately-owned operators; the largest – Advanced Info Service (AIS) – has been hit with a THB74billion (US$2.3 billion) bill. The Bangkok Post reports today that senior execs from China Mobile and Docomo have met with the Thai ICT Minister Juti Krairiksh (pictured) and three executives from TOT to discuss a contingency if AIS defaults. SK Telecom has also been “kept abreast of developments” by the Thai government, the report says.

“Given that TOT is stepping up into 3G nationwide on the 1900 MHz frequency, the state enterprise cannot afford a worst-case scenario of AIS failing to pay the compensation,” said an ICT source. “We need to find a prospective operator to carry on the mobile leader’s business.” The source said Mr Juti had asked China Mobile and Docomo to submit their proposals to him within two weeks. The government’s demands relate to purported unpaid access charges and contract changes made during previous governments – and is the first action taken following a ruling in 2007 that changes to contracts with state-run concession holders had failed to comply with the law. However, the operators are deemed unlikely to cough up the money without a fight, with lengthy legal battles seemingly inevitable. TOT’s decision to build its own 3G network and then rent capacity to operators has also proved controversial in a market that has repeatedly failed in its attempts to auction 3G spectrum to private operators.