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Tata firms move SC against spectrum charge hike

Last Updated 14 February 2011, 17:36 IST

The two companies challenged the order of the sectoral tribunal TDSAT, which has declined to stay Department of Telecom’s (DoT) hike in the spectrum charge.

Admitting the plea, a three-judge Bench headed by Chief Justice S H Kapadia directed the two firms to deposit 50 per cent of the increased spectrum usage charge demanded by  DoT and submit a bank guarantee for the rest within a week.

The apex court also issued notice to  DoT and directed it to file a reply. Besides, the Bench directed to tag Tata group firms’ appeal with the other telecom operators RCom, R Tel, Vodafone, Bharti Airtel, Bharti Hexacom (operating in Rajasthan), Idea Cellular and Uninor.
The operators are challenging the DoT decision to increase the usage charges 3-8 per cent of adjusted gross revenue, depending on quantum of spectrum held by an operator.
Earlier, on January 31, the apex court had directed two Anil Ambani group firms—Reliance Communications and Reliance Telecom—to deposit 50 per cent of the increased spectrum usage charge demanded by DoT and submit a bank guarantee for the rest within two weeks.

DoT had asked the two ADAG group firms to deposit Rs 94 crore for the spectrum charges as per the new rules.

On October 22, the Supreme Court had stayed the TDSAT order upholding a hike in 2G telecom spectrum usage charges, but had asked Bharti, Vodafone and Idea to deposit with it 50 per cent of the proposed increase in fee with the court’s registry.

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(Published 14 February 2011, 17:35 IST)

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