Question & AnswerQ&A (NTC MEMORANDUM CIRCULAR NO. 08-08-2004A)
The primary purpose is to enable the National Telecommunications Commission (NTC) to monitor and regulate the purchase, sale, lease, and retail of mobile phones, parts, and accessories in the interest of the public.
An MPD is a person or entity authorized by the Commission to purchase mobile phones and parts from mobile phone suppliers/distributors and sell them to end users/customers. An MPD may have multiple branches, each paying the corresponding permit fees.
They must secure the necessary accreditation/permit/registration certificate from the Commission before engaging in business. They must also comply with requirements on capitalization, business registration, dealership agreements, and submit monthly reports on stocks and sales.
No, MPDs and MPRRs are prohibited from selling mobile phones without NTC type-approval/type acceptance labels/stickers.
The NTC can order closure of the establishment, impose fines, and suspend or revoke permits until the proper accreditation or registration certificate is secured.
Filing Fee is PHP 500.00; MPD Permit Fee is PHP 2,500.00 per year; MPD Branch Permit Fee is PHP 1,500.00 per year per branch; MPRR Registration Fee is PHP 1,500.00 per year; Mobile Phone Supplier/Distributor Accreditation is PHP 2,500.00 per year; and Inspection Fee is PHP 1,500.00 per year.
A fine of PHP 5,000.00 per unit or violation is imposed for illegal purchase, sale, lease, or retail of mobile phones from illegal sources.
Upon complaint or violation report, the NTC may file an administrative case and direct the respondent to show cause within 15 days why their permit should not be suspended, canceled, or revoked. A hearing is conducted, and pending final determination, the Commission may issue a cease and desist order and suspend the permit if needed to protect the public interest.
They must register all available mobile phone units and submit monthly lists of the International Mobile Equipment Identity (IMEI) codes and Subscriber Identification Module (SIM) numbers of their stock or possession to the Commission.