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		</div><p><a href="http://londonglossy.com/wp-content/uploads/2010/12/bt-accused-over-competition-law.jpg"><img class="alignnone size-full" title="BT has been accused of infringing competition law through its wholesale pricing of phone calls" src="http://londonglossy.com/wp-content/uploads/2010/12/min-bt-accused-over-competition-law.jpg" alt="BT has been accused of infringing competition law through its wholesale pricing of phone calls"/></a></p>
<p>BT has been accused of infringing competition law after a watchdog said the firm squeezed rivals through its wholesale pricing of phone calls.</p>
<p>Ofcom said it believed BT may have engaged in a &#8220;margin squeeze&#8221; in 2008 and 2009 by setting the prices charged to other providers for its wholesale calls product at a level that would not have allowed rivals to cover their costs.</p>
<p>Its statement follows a two-year investigation after BT&#8217;s rivals Thus, now part of Cable &#038; Wireless Worldwide, and Gamma Telecom complained to Ofcom that BT was undercutting the market.</p>
<p>BT said it strongly refuted the allegations in Ofcom&#8217;s statement of objections, which date back to between July 2008 and April 2009.</p>
<p>A spokesman said: &#8220;We will, of course, participate fully in the Ofcom investigation over the coming months and defend our pricing vigorously.&#8221;</p>
<p>BT&#8217;s wholesale calls product is used by other communications providers to offer calls at a retail level to consumer and businesses.</p>
<p>Rivals such as Thus and Gamma also provide the same wholesale service, but use BT lines.</p>
<p>In their original complaint, Thus and Gamma claimed BT was pricing its wholesale calls product below cost to force competitors that use its lines out of the market.</p>
<p>Ofcom said BT will now have 12 weeks to respond to Tuesday&#8217;s statement of objections before it delivers a final ruling on whether competition law has been infringed.</p>
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