The ACCC has filed suit against Telstra for refusing rivals’ access to its copper network, sending its shares to a fresh all-time low.

And just to make sure the company is really, really, really out of the running for the National Broadband Network, a senior Telstra employee mocks Communications & IT Minister Stephen Conroy on Twitter.

A suit by the Australian Competition and Consumer Commission (ACCC), filed in a Melbourne Federal Court this afternoon, alleges that Telstra refused to let rivals access seven of its phone exchanges.

Following their 11.62% plunge yesterday, Telstra’s shares were down another 6.3% in midday trading on the ASX today.

Telstra shares look set to finish the session at a fresh two-year low, with around $A9 billion wiped from the company’s market cap since it was first shut out of National Broadband Network bidding 48 hours ago.

After suffering only moderate damage on the ASX most of yesterday, Telstra’s shares crashed at the close to record the company's biggest one-day fall since its 1997 float.

The collapse came as Communications Minister Stephen Conroy took a sledgehammer to the company's spin machine, saying the telco has sidelined itself for a decade by "excluding itself" from the National Broadband Network. Rivals sniff a historic chance to break Telstra's near-monopoly.

The latest shock development in Australia’s National Broadband Network (NBN) saga sees the federal government calling Telstra’s bluff and excluding the tantrum-throwing telco from the tender process.

After much smack-talk and political demands on Telstra's part, today it was excluded from the multibillion dollar project on a technicality - for not providing the government with a plan on how it would involve small and medium businesses in the building of the network.

Telstra is showing no quarter following its failure to place a bid for the Australian National Broadband Network (NBN) yesterday.