jim_duffy
Managing Editor

House seeks Justice Department delay on AT&T/BellSouth decision

Opinion
Oct 5, 20062 mins

* The House Judiciary Committee letter requests careful review of AT&T/BellSouth merger

The House Judiciary Committee last week sent a letter to the Justice Department requesting it delay a final decision in the proposed AT&T/BellSouth merger until the District Court of the District of Columbia completes its review of SBC/AT&T and Verizon/MCI deals.

The letter is the third bipartisan Congressional letter sent to the Justice Department and FCC this week requesting careful review of the AT&T/BellSouth merger. The others come from Senator Mike DeWine (R-OH) and Senator Herb Kohl (D-WI), the Chairman and Ranking Member, respectively, of the Antitrust Subcommittee of the Senate Judiciary Committee; and from Senate Judiciary Committee Ranking member Patrick Leahy (D-VT) and Senator Kohl.

The House letter, written by Chairman F. James Sensenbrenner, Jr. (R-WI) and Ranking Member John Conyers, Jr. (D-MI), cites the concurrent market impact reviews undertaken by the court under the Antitrust Procedures and Penalities Act – also known as the “Tunney Act” – and its 2004 amendments, and the Justice Department.

The congressmen say a decision in one review could affect the other, so it would behoove the Justice Department to delay its conclusion on AT&T/BellSouth until the court has decided on the merger’s two predecessors – SBC’s acquisition of AT&T, and Verizon’s purchase of MCI.

A Justice Department spokeswoman said the agency is aware of the letter and “will respond when appropriate.” She did not say when that would be.

FCC Chairman Kevin Martin reportedly is recommending the commission approve the AT&T/BellSouth merger unconditionally. A formal vote on the merger is expected at the FCC’s Oct. 12 meeting.

Some analysts also expect the merger to close next month.