AGR case: SC directs telecom companies to file affidavit on repayment of dues

The Supreme Court on Friday strongly fumed upon telecom companies for not having cleared their Adjusted Gross Revenue (AGR) and also slammed the Department of Telecommunications (DoT) for demanding Rs 4 lakh crore from state-run PSUs. The apex court stated that the DoT officials are misusing its earlier judgement and ordered the department to reconsider its demand from the PSUs. The hearing has been adjourned for June 18. 

'Totally impermissible'

A three-judge bench comprising of Justices Arun Mishra, MR Shah and S Abdul pulled up Solicitor General Tushar Mehta to explain the reason behind demanding Rs 4 lakh crores from the PSUs which the top court termed as 'totally impermissible.'

The top court also questioned the demand by telecom companies to pay its dues over a period of 20 years. SG Mehta argued that it would be difficult for telecom companies to pay the AGR amount upfront in one go and if the court persists, it would adversely impact the telecom sector and in turn, the consumers will suffer.

READ | DoT Submits Details Of Dues On AGR From Telecom Companies Ahead Of SC Hearing

SG Mehta stated that the Central government will file an affidavit explaining why dues were raised dues against PSUs. He also informed that the Centre has extensively examined the issue and has come out with a bail-out package. Meanwhile, the apex court has directed telecom companies to file affidavits on how will they pay the remaining dues. 

READ | SC Won't Allow Telcos' AGR Defiance; Gives Jail Warning To MDs On Non-compliance

Senior advocate Abhishek Singhvi, appearing for Airtel Bharti, stated that the company had paid 100 per cent of its 'self-assessed' AGR dues and added that it will confirm the remaining dues with government and clear it as well. Bharti Airtel had claimed to have deposited a total payment of Rs 18,004 crores to the DoT in February. On the other hand, Mukul Rohatgi, appearing for Vodafone Idea, argued that there is a total demand of over Rs 50,000 crores along with interest and penalty. He added, "We don't have enough money to even pay our employees and meet our expenses."

READ | SC Dismisses Review Petition By Telecom Operators Urging New Schedule For AGR Payment

READ | Airtel, Voda Idea, Tata Tele Likely To Pay AGR Dues On Monday: DoT Source

(With ANI Inputs)