Agra will take steps against non-paying companies: Telecom Department

The telecom department wanted to avoid complication when the Supreme Court accepted the application of telecom companies on the date of payment of AGR

(PTI) New Delhi, Feb 15, 2020, Saturday

The Telecom Department will take stringent action against telecom companies that failed to pay Adjusted Gross Revenue (AGR) before 12.00 pm on Friday night, following the Supreme Court's orders.

However, most offices in the telecom department have a holiday on Saturday. Therefore, the telecom department can wait till Monday evening to pay the AGR. If the telecom companies do not pay the AGR dues by Monday evening, a notice will be sent against them, along with penalties and stringent action.

An official of the telecom department said that the department had sent five notices to the telecom companies with a reminder and punishment provision. The notice was sent on October 31, November 13, December 2, January 20 and February 14.

Telecom companies must pay money according to the Supreme Court order and the department has never given them extra time. Now telecom companies are saying that they will pay a partial payment by Monday, but they will be dealt with every delay.

Earlier on Friday, the telecom department, which had woken up after the Supreme Court dismissed, had directed the companies to pay the balance of the AGR by 11.59 pm on Friday night. Telecom companies have a debt fee of Rs 92,00 crore as license fee and Rs 55,000 crore as spectrum usage charge. Overall, these companies have paid Rs. 1.47 lakh crore to be paid.

The apex court on Friday dismissed the telecom department ordering companies not to take action against them if the companies failed to pay the AGR and threatened to sue for ignoring the court order.

The telecom department then directed telecom companies to pay AGR debt overnight. In addition, the telecom department said on the notice sent on February 14 that the notice was made for internal processes so that any internal complications could be avoided.

Sources in the telecom department said that the telecom department did not give any orders to the telecom operators. The companies filed a petition in the Supreme Court. The apex court accepted the application before the closing date for the payment of the AGR, listing the case at a later date.

Because of this, the department did not have time to seek clarification before the court. To avoid this, the department has ordered that no action will be taken if the telecom companies do not pay the AGR within a specified time. The telecom department official said that the notice and reminders sent to the companies stating that action would be taken against the telecom companies for delay in payment of the AGR was clear.

Banks are also concerned with Supreme Court's order on AGR issue

Banks will suffer if a telecom company files bankruptcy: SBI

New delhi date. 15

The Supreme Court's order on the AGR issue has raised concerns among telecom companies as well as banks. Some government banks have given loans to telecom companies facing financial crisis. Thus, the Supreme Court's order could have an impact on these banks.

State Bank of India (SBI) chairman Rajneesh Kumar said that where to arrange the payment for the AGR payment depends on the telecom companies. However, if any telecom company filed for bankruptcy, banks would suffer and there would be more problems for banks facing NPA problems. He added that if the issue of AGR payments had a negative impact on any telecom company, it would have a profound impact on the wider ecosystem, including banks, company employees, vendors and customers.

RBI Governor Shaktikant Das said on Saturday that if any problem arises from the recent Supreme Court order on AGR dues, RBI Governor Shaktikant Das said on Saturday. Banks along with telecom companies have also been concerned over the Supreme Court's warning that there could be contempt of court action against telecom companies if Rs 1.47 lakh is not paid.

Camels came up or down

Vodafone finally agreed to pay AGR 53,000 crore

However, the continuation of business in India depends on the Supreme's order: Vodafone

New delhi date. 15

Vodafone Idea, a debt-ridden telecom company, finally closed the AGR at Rs. It has agreed to pay the outstanding balance of Rs 53,000 crore. However, with this, he has expressed concern about continuing the business. The company said that it was proceeding to pay the remaining amount of AGR as per the Supreme Court order. However, the continuation of business in India depends on the favorable order on the amendment petition filed before the Supreme Court. Vodafone Idea said that the company is currently evaluating the amount to be paid to the telecom department on the basis of calculations of AGR. The company will pay the AGR balance in the next few days based on this valuation. Vodafone Idea has made Rs. Spectrum usage fee of Rs 24,729 crore and Rs. 28,309 crore including license fee of Rs. 53,038 crore is to be paid. The company had earlier hinted that it would be forced to close the company if there was no relief in the payment of this amount. The Supreme Court hearing on the AGR issue is set for March 17.