Beijing's only cable television provider issued a public statement Monday to justify its controversial increase in subscription fees.

It was the first time that the Shanghai-listed Beijing Gehua CATV Network Co Ltd had spoken out since the company received formal summonses in mid-July for two civil cases against it.

However, the company insisted in its statement that the price hike was legal and had been approved by the Beijing Municipal Pricing Bureau.

"In any case, cable TV subscription fees are not listed in the category of items that need a public hearing in Beijing," the company said.

Gehua announced at the beginning of July that it would charge each subscriber 18 yuan (US$2.20) a month, starting that month.

The price rise of 6 yuan (72 US cents) raised the hackles of many Beijingers, who believed that the public's voice should have been heard before the company raised the price since the firm has a monopoly.

In mid-July, two consumers initiated lawsuits against the company.

Hao Yunfeng, a lawyer with the Beijing Liaohai Law Office, filed a case against Gehua in his capacity as a consumer on July 17. He accused the company of violating consumers' right to accurate information and the right to a fair deal.

Another plaintiff, known only by the surname He, went to court the next day. She accused Gehua of not informing her of the price hike before collecting an additional 6 yuan from her bank account.

Both plaintiffs said they have felt uncomfortable at Gehua's "overbearing" attitude towards its customers.

Hao said: "I do hope my action will attract the government's attention and get cable TV included on the list of items that need a public hearing."

Xu Lianzhong, the branch director of the National Development and Reform Commission's Pricing Monitoring Centre, said the Pricing Law will be revised later this year.

"The amended law will be more specific as to which

Close

Today's Top News		Top National News
+Commentary: Don't meddle with yuan ( 2003-09-02) +200,000 troops to be cut by 2005 ( 2003-09-02) +Beijing Games marketing plan launched ( 2003-09-02) +Flood forces 10,0000 to evacuate ( 2003-09-02) +Beijing courts announce 50 major changes ( 2003-09-02)		+200,000 troops to be cut by 2005 ( 2003-09-02) +HK, Macao embrace mainlanders ( 2003-09-02) +Flood forces 10,0000 to evacuate ( 2003-09-02) +Beijing courts announce 50 major changes ( 2003-09-02) +Comment: No tolerance for evil ( 2003-09-02)