Vodafone Idea says it will pay AGR dues, continuation of business depends on Supreme Court order

A day after the being pulled up by the Supreme Court, Vodafone Idea on Saturday said it is proposes to pay the amount to the government in next few daysm even as the company expressed its concern over continuation of its business in India.

“The Company is currently assessing the amount that it will be able to pay to DoT towards the dues calculated based on AGR (Adjusted Gross Revenue), as interpreted by the Hon'ble Supreme Court in its order dated 24 October 2019. The Company proposes to pay the amount so assessed in the next few days,” the company said in a BSE filing.

“As disclosed in the Company's financial statements for quarter ending December 31, 2019, the Company's ability to continue as a going concern is essentially dependent on a positive outcome of the application for modification of the Supplementary Order,” the company said in the filing.

The debt-hit telecom firm Vodafone also said that it has received letters from Department of Telecommunications (DoT) directing immediate payment.

Vodafone Idea, whose liability is estimated to be around Rs 53,038 crore, including Rs 24,729 crore of spectrum dues and Rs 28,309 crore in licence fees, has already warned of shutdown if no relief is given.

On Friday, the SC directed the managing directors and directors of telcos and other firms to explain why contempt action be not taken against them for non-compliance of its order to pay adjusted gross revenue (AGR) of Rs 1.47 lakh crore to the Department of Telecom (DoT).

The next date of hearing is scheduled for March 17, 2020.