Despite the Centre's downfall, telecom companies did not pay Rs 1.47 lakh crore

Supreme Court issues March 17 summons to MD, CEO and Telecom Department officials of telecom companies: Supreme Court dismissed center-telecom companies and directed companies to pay Rs 1.47 lakh crore by March 17.

New delhi date. February 14, 2020, Friday

The government was cleared after the Supreme Court on Friday over the issue of payment of AGR to telecom companies and issued a fatal payment to the telecom companies on Friday night before 12.00 pm to pay the outstanding balance of AGR 1.47 lakh crore. However, companies were unable to pay this amount overnight.

On the other hand, the court had threatened to file a contempt of court contempt of the telecom department officials and the CEO of telecom companies, for failing to comply with the Supreme Court order on AGR payments. However, the Supreme Court adjourned the next hearing of the case on March 17 to allow telecom companies to pay Rs. It was directed to pay the outstanding amount of 1.47 lakh crore.

The Supreme Court was angered by the attitude of telecom departments and telecom companies over the demand for AGR payments by Bharti Airtel, Vodafone-Idea, Tata Tally and others seeking more time to pay the AGR. The telecom department was woken up after the Supreme Court's stance.

The telecom department, on January 23, 2020, withdrew its order and sent telecom companies notice of the outstanding balance of the AGR as per Circle Zero Zone, asking companies to pay the balance due by 11.59 pm on Friday night. Otherwise, the notice would take action against the companies.

In its order dated January 23, the telecom department had issued instructions that no action would be taken against telecom companies even if they failed to pay the AGR dues. From telecom companies, Rs. 1.47 lakh crore in unpaid license fees of Rs. 92,642 crore and the remaining charge of spectrum usage is Rs. 55,054 crore.

However, the Supreme Court on Friday adjourned the hearing till March 17 and ordered the telecom companies to pay the remaining amount of AGR by this date.

The court also warned that the MD, CEO of all telecom companies will have to attend the court on a personal level if the order is not followed. In addition, the court also directed the telecom department employee to appear before the court on March 17.

Airtel's Rs. Ready to pay 10,000 crores

In response to the telecom department's Friday notice, Bharti Airtel has agreed to pay Rs 10,000 crore on February 20 and the balance before March 17. Including Airtel license fee and spectrum usage charges, the government will pay Rs. 35,586 crore to be paid.

Tweak to close Vodafone's company

Vodafone did not respond to the Center's notice. But company chairman Kumar Mangalam Birla said last month that the company was given Rs. There will be no relief from the Supreme Court and the government in paying over Rs 53,000 crore and if they are forced to pay this amount then they have no choice but to close the company.

Telecom companies' requests were rejected consistently

The apex court had on January 15 hit telecom companies on the AGR issue. The apex court rejected the review petition on the issue of payment of AGR from Bharti Airtel, Vodafone Idea and other companies, saying it did not find any good reason for reconsidering the applications. In addition, the court ordered telecom companies to pay Rs 1.47 lakh crore by January 23. But the companies again applied to the Supreme Court.

Ordered only by Seniors' approval: desk officer's claim

New delhi date. 14

Mandar Deshpande was the 'desk officer' who ordered virtually 'stay' on the Supreme Court order.

He is the Indian accounting and finance services officer. The Supreme Court has been furious over the 'desk authority' over the issue of non-payment of AGRs by telecom companies.

Deshpande issued a directive that no action should be taken against telecom companies even if the AGR dues were not paid within the time limit fixed by the Supreme Court. However, Deshpande claims that the order came only after the approval of senior officials in the telecom department.

The order of the telecom minister or secretary without the permission of the 23rd January: Sources

New delhi date. 14

The telecom department's January 23 order has been taken without the approval of the telecom minister Ravi Shankar Prasad Arthwa telecom secretary, if the telecom companies fail to pay the outstanding debts of AGR.

The government is planning to take serious action against those giving this mandate. On Friday, the Supreme Court was angered by the telecom department's desk officer's orders and called the telecom department's order "arrogant".

What was the dispute between the telecom department and the telecom companies?

New delhi date. 14

The telecom department of the central government believes that all the revenue received by the telecom companies besides the termination fee is part of the Adjusted Gross Revenue (AGR). Telecom companies, on the other hand, argue that non-telecom revenue such as rent, internet income, profit, etc. should not be included in the AGR.

In 2006, the Telecom Settlement and Appellate Tribunal (TDSAT) ruled in favor of telecom companies. The telecom department subsequently challenged the TDSAT decision in the Supreme Court. However, the Supreme Court ruled in favor of the government in a 14-year-old legal conflict between the government and telecom companies.

Competition between two companies in the telecom sector in India!

Experts in the telecom sector believe that several telecom companies, including Vodafone Idea, will be closed in the Indian telecom sector after the orders of the Supreme Court and now the Telecom Department. The Indian telecom sector has been shutting down companies one by one for the last few years.

Vodafone and Idea had to join forces to survive the fierce competition following the arrival of Telecom Jio. Now Vodafone's position on AGR payments is very weak. Vodafone Idea has asked the government for Rs. 53,000 crore, of which Rs. 24,729 crore in other forms including spectrum fee and license fee. 28,309 crore.

Vodafone Idea on Thursday showed its inability to pay the AGR. Last week, Vodafone's chief executive officer Nick Reid said that the situation was very serious following the directions of the Supreme Court's AGR in India.

The company reported a loss of Rs. 50,922 crore. Under such circumstances, Vodafone may have to stop its operations in India. If this happens then only Reliance Jio and Bharti Airtel will be the two largest companies in the Indian telecom sector.