to stave off competition in the local telephone market from Quantum Communications Ltd.

A Supreme Court judge has rejected BTC's request for a stay on a ministerial order requiring the company to connect its network with Quantum's, according to a Quantum spokesman. The connection is necessary for both company's customers to talk to each other.

The hearing over the request for the stay was made preliminary to a full fledged court battle in which BTC has appealed an order by the Telecommunications Minister that it must connect Quantum by September 3.

The rejection of the stay apparently means BTC must proceed with connecting Quantum while the appeal is being heard. BTC argues that it should not have to make the connection because Quantum's telecommunications licence is invalid.

BTC claims that Quantum is a reseller because it leases its fibre-optic network from majority owner Belco Holdings Ltd., while its licence requires the company to establish and own its own facilities.

In a previous Royal Gazette story, Quantum president Jim Sullivan said the company has since purchased the source of the dispute -- the fibre-optic cable -- from Belco.

BTC wants the terms of Quantum's licence changed and a regulatory framework established so the company can compete under the same rules as Quantum.

Jim Sullivan Graphic file name: SULLIV