New Delhi: Big relief for Bharti Airtel as the Delhi high court gave stay order of the Rs 350 crore penalty imposed on the telecom giant by the government for its 3G services.
On Friday, the Department of Telecom had imposed the penalty on Airtel for offering high-end data services in Kolkata, Maharashtra, Gujarat and four other regions, where it does not have 3G frequencies.
The court has allowed Bharti to continue offering the services but has ordered it to keep all its revenue from the contentious services in a separate bank account.
Market reacted to the DoT notice, telecom shares were trading low during the day. Airtel shares ended at 3.05 percent down at 308.
The telecom service provider will also have to sign an affidavit saying that the government can cash its bank guarantee if the government’s stance on the issue is found correct.
The next hearing is scheduled on 8 May.
First Published: Monday, March 18, 2013, 19:14