UPDATE 3-Dutch regulator keeping close eye on telecom KPN

AMSTERDAM, Dec 21 - Dutch Post and Telecommunications Authority OPTA has put KPN, the country's telecoms market leader, under close supervision with immediate effect, saying it may have broken the law to the detriment of consumers and competitors.KPN and other mobile phone operators in the Netherlands are already under investigation by the country's competition authority, known as NMA, for possible price-fixing.But OPTA, which declined to comment on the scope or nature of KPN's infringements, told Reuters its action was "completely separate" from that of NMA.In a short statement, OPTA said "the risk that KPN is violating OPTA legislation is estimated to be high, with harmful effects on consumers and or on the competition," citing "behaviours and violations" by the telecommunications company.Cynthia Heijne, OPTA's spokeswoman, told Reuters the regulator had already carried out an investigation of KPN and was now taking action on the basis of its findings. UGG Classic Tall 5815The post and telecoms authority, which is responsible for promoting competition in the communications markets, has far-reaching investigative powers, and its staff may enter the premises, request information, demand disclosure and remove data from a company."KPN was surprised by Dutch regulator OPTA's announcement that it intends to sharpen its supervision of the company in the Netherlands," the telecoms firm said in a statement."KPN is aware of a couple of cases which are currently being dealt with to which the OPTA announcement may be related. KPN is firmly of the opinion that it has acted in compliance with relevant laws and regulation in these cases, which are the subject of a number of legal proceedings."A KPN spokesman declined to comment further.KPN shares were up 0.16 percent at 1015 GMT.The largest telecommunications provider in the Netherlands has struggled to reverse a decline in revenues, profits and market share in its domestic fixed-line and mobile businesses in recent quarters as competition intensifies.Earlier this year, KPN said sales in the Netherlands have been particularly hard hit by consumers bypassing traditional mobile phone and text messaging services in favour of keeping in touch via Facebook, Twitter and instant messaging.