TDSAT lowers Aircel's bank guarantee for two UP circles by 50%
Quotes

TDSAT lowers Aircel's bank guarantee for two UP circles by 50%

Last Updated: Sunday, September 16, 2012, 15:56
 
 Comment 0
 
TDSAT lowers Aircel's bank guarantee for two UP circles by 50%
New Delhi: Telecom tribunal TDSAT has reduced Aircel's financial bank guarantee by 50 percent for two circles - UP East and UP West.

Aircel and the DoT are having a dispute over revision of the guarantees and the telecom company had earlier approached the TDSAT, seeking directions to the department to revise guarantees submitted by it in all its circles.

Passing an interim order, the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has directed Aircel to renew its bank guarantee with 50 percent of the original amount paid by it at the time of spectrum allocation for UP East and UP West circles.

"Keeping in view the fact that the petitioner (Aircel) has been in an ongoing concern, interest of the justice would be sub served if at this stage the petitioner is directed to furnish a bank guarantee of 50 percent of the original bank guarantee in respect of aforementioned circle," TDSAT said.

A TDSAT bench, headed by its Chairman Justice S B Sinha, also directed the DoT not to take any coercive steps against Aircel on this issue.

"With aforesaid observations and directions, DoT is hereby restrained to take any coercive step to direct Aircel to renew the bank guarantee subject to the conditions," TDSAT said.

As per TDSAT order, Aircel has to furnish the guarantees within a week. Aircel had paid a financial bank guarantee of Rs 25 crore each for the 20 circles for which it had got licence.

Aircel's guarantee for the two circles was only up to September 15 this year, hence the tribunal passed the order. For the rest of the circles, the matter is listed for hearing on September 28.

Financial bank guarantees are paid to DoT at the time of spectrum allotment as per the licence conditions and DoT has to revise it after the operator pays the required Adjusted Gross Revenue (AGR) for two quarters to DoT as the licence fee.

TDSAT said Aircel had already deposited AGR of Rs 5.42 crore and Rs 4.92 crore for the two quarters for the both circles.

PTI



First Published: Sunday, September 16, 2012, 15:56


Comments


comments powered by Disqus
Top 10 Fastest-Emerging Cities
Top 10 Fastest-Emerging Cities
New York Auto Show 2014
New York Auto Show 2014
Top Businesswomen in India
Top Businesswomen in India
World`s top ten billionaires 2014
World`s top ten billionaires 2014
2014 Geneva International Motor Show
2014 Geneva International Motor Show

Web Wrap
Contact Us : Privacy Policy : Legal Disclaimer
Copyright © Zee Media Corporation Ltd. All rights reserved