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China Telecom's revocation order will not be obstructed by a US appeals court

China Telecom's revocation order will not be obstructed by a US appeals court

WASHINGTON, Dec 2 (Reuters) - A federal appeals court declined China Telecom Corp's emergency bid to halt a U.S. Federal Communications Commission ruling withdrawn its authority to provide services in the United States on Thursday.

The US court of Appeals for the District Columbia asked the U.S. division of China Telecom to temporarily obstruct the FCC order, which will go effect early January, in the course of a full review of its legal challenge, until a three-judge panel of the U.S. Court of Appeals for the District Columbia refused the proposal by the U.S. arm of China Telecom to temporarily obstruct the FCC order, which takes effect in early January.

China Telecom had advised it to notify US customers of the decision by Saturday and stated that it will "be forced to stop significant operations, irreparably harming its company, reputation, and relationships," without a temporary halt to the FCC action.

The court claimed that considering the legal arguments would have to take months.

The FCC ordered on Oct. 26 to suspend U.S. services by early January, citing the carrier's lack of immediate comment on Thursday.

According to the FCC, China Telecom is "subject to exploitation, influence, and control by the Chinese government and is highly likely to be forced to comply with Chinese government demands without adequate legal procedures subject to independent judicial oversight."

China Telecom, which has been authorised for 20 years to provide telecommunications services in the United States, had more than 335 million members worldwide in 2019, and warned the FCC action would force it "to stop its entire resold mobile resale service in the United States."

The FCC began its efforts in March to revoke the authority for China Unicom Americas, Pacific Networks, and its fully regulated subsidiary ComNet to provide U.S. telecommunications services.

The FCC unanimously denied state-owned Chinese telecom firm China Mobile Ltd the right to provide U.S. e-commerce services in May 2019, but the FCC voted to keep it open in May 2019.

Huawei Technologies Co Ltd and ZTE Corp were designated as national security threats to communications networks last year by the FCC.

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