Simba in hot water yet again, gets ordered to pay eye-watering S$699K after trespassing in Sentosa building

SINGAPORE: Simba Telecom has landed in hot water once again and has now been ordered to pay nearly S$700,000 in damages after the High Court found that the telecommunications company had trespassed on premises owned by Altitude Xperience in Sentosa following a dispute over licence-fee payments.

In a judgment delivered by Justice Lee Seiu Kin, the court ordered Simba to pay Altitude Xperience a total of S$698,594.50 after ruling that the telco had continued occupying rooftop and ground-floor spaces at the building without a valid agreement.

Altitude Xperience, formerly known as Skyventure VWT Singapore, owns the five-storey AltitudeX building, previously known as the iFly Building. Simba had installed mobile telecommunications equipment on both the rooftop and ground floor of the building since December 2017.

According to court documents, the parties initially operated under an oral arrangement before entering into a backdated licence agreement covering the period from December 21, 2017, to September 19, 2018. Simba paid S$5,770.40 under that agreement.

A key issue in the dispute was whether Simba had the right to continue occupying the spaces after September 19, 2019.

Simba argued that a payment of S$35,310 made in April 2020 was intended as a goodwill payment to settle the dispute or as a transition payment as the spaces moved into a rent-free telecommunications facilities regime.

However, the court rejected that argument, finding that the documentary evidence showed the payment was made in response to an invoice for licence and service fees covering the period from September 20, 2018, to September 19, 2019.

Justice Lee found that there was no agreement permitting Simba to continue using the rooftop and ground-floor spaces after September 19, 2019.

The telco had also argued that it was entitled to remain on the premises rent-free under Singapore’s telecommunications facilities code. Altitude Xperience disputed that claim, maintaining that the spaces did not qualify for such treatment.

The dispute had previously been examined by the Infocomm Media Development Authority (IMDA), which found that the rooftop area did not constitute unused space and therefore did not have to be made available rent-free. Simba later appealed to the Minister, but the appeal was dismissed after it was filed outside the prescribed timeline.

The High Court ultimately concluded that Simba was not entitled to occupy the spaces without payment and that its continued use of the rooftop and ground-floor areas after Sep 19, 2019, amounted to trespass.

The damages awarded comprised S$40,392.50 for the period between September 20, 2019, and September 19, 2020, S$100,432 for the period from September 20, 2020, to July 23, 2023, and S$557,770 covering the period from July 24, 2023, to the end of 2025.

The ruling adds to a series of challenges faced by Simba this year.

In May, plans by Simba’s parent company to acquire rival telco M1 collapsed after IMDA suspended its assessment of the proposed integration between the two operators.

The regulator said it had uncovered information suggesting that Simba may have used unallocated radio frequency bands to provide mobile communication services, potentially breaching relevant laws or regulatory requirements.

Following IMDA’s suspension of the review process, Tuas Limited announced on May 22 that it would not proceed with the acquisition of M1.