On Friday, the Supreme court rejected the plea put forth by Vodafone Idea, Bharti Airtel & Tata Teleservices to make rectifications in the telecom department’s adjusted gross revenue (AGR) calculations. The Supreme court bench comprising of Justice N Rao & Justice Aniruddha Bose ruled “all applications dismissed.” However, there is no clarity over the interpretation between the Department of Telecommunications (DoT) & the three telcos on the deadline of the payment of 10% AGR dues. This Supreme court order will affect Vi the most as it is hunting for investors who could raise funds to Rs.25,000 crore. Sabyasachi Majumdar, Senior Vice President & Group Head, ICRA Ltd. told that the order is going to affect the recovery of the sector. Vi is in a debt of Rs.1.8 lakh crore & a cash balance of Rs.350 crore. It needs to pay Rs.22,500 crore from December 2021- April 2022. A request has already been made to DoT to increase the timeline to pay Rs.8,292 crore, dues related to spectrum purchase until April 2023. The SC had ruled out their self-assessment & declared the DoT calculations to be final.
Source: Economic Times