TELSTRA lodged dozens of freedom-of-information applications in search of proof that the consumer regulator had colluded with a consortium of telco companies threatening to build a national broadband network.
Telstra chief executive David Thodey said yesterday that the quest for the documents had been dropped as a peace offering to the Federal Government and "its agencies", which include the Australian Competition and Consumer Commission.
It is believed the ACCC rejected Telstra's 55 FoI requests and Telstra had planned to appeal against the decision in the Administrative Appeals Tribunal.
"Telstra remains focused on building a constructive relationship with the Federal Government. That focus has not changed," Mr Thodey said in confirming the decision to drop the requests. "We are in an open and honest dialogue with all parts of the Government, including its agencies. Telstra just wants to get engaged and work through the opportunities. This is all part of that process."
Telstra had accused the ACCC of working with the Optus-led "G9" coalition of telcos to develop a rival broadband plan in 2006 and 2007.
The G9 proposal was in opposition to Telstra's offer to build a $4 billion national broadband network, which the company withdrew in a fit of pique in August 2006 after it butted heads with the ACCC and the Federal Government over proposed access regulations.
In June 2007, then Telstra chief executive Sol Trujillo referred to ACCC chairman Graeme Samuel as "chief spokesman for the G9", while Telstra's public affairs chief, Phil Burgess, called Mr Samuel a "lapdog for Singapore", referring to Optus owner SingTel.
The ACCC knocked back the G9 proposal in December 2007 on pricing grounds, but the regulator said at the time it was generally supportive of the plan.
Telstra's aborted FoI requests are believed to have been for documents it believed would prove that the ACCC improperly assisted the G9 between March 2006 and August 2007, three months after the consortium lodged its own proposal.
Under the reign of Mr Trujillo, Telstra waged vitriolic public warfare on the ACCC and Mr Samuel, describing them as biased and anti-competitive.
Mr Thodey has made much in his short time at the helm of wanting a better relationship with the Government. He did not, however, retract the allegation that the ACCC had colluded with the G9.
Last night, the ACCC's Ed Willett denied the allegation, pointing out that it was common and proper to "explore (submissions) informally" before they were lodged, as the regulator had done for Telstra.
Telstra's decision came as the Federal Government shrugged off news that the Auditor General would investigate the broadband network tender process.
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