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Business News/ Companies / RCom approaches TDSAT against DoT
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RCom approaches TDSAT against DoT

RCom approaches TDSAT against DoT

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New Delhi: Anil Ambani-led Reliance Communications has moved telecom tribunal TDSAT against the government over non-allotment of GSM start-up spectrum in six states, where a subsidiary of the company was already offering GSM services.

RCom has alleged that despite giving In-Principle- Approval for six circles -- Bihar, Himachal Pradesh, Madhya Pradesh, Orissa, Kolkata and West Bengal -- on 18 October 2007, the Department of Telecom withdrew the approval after a gap of over one year.

The company further contended that DoT had accepted the payment of Rs112.56 crore towards entry fee for the spectrum for these six circles.

The government informed the company on 24 December 2008, of withdrawing “arbitrarily and without any rationale" the In-Principle-Approval granted to it, RCom said.

Last month, DoT had returned Rs112.56 crore to RCom saying it was a mistake to accept the money from the operator as RCom was already in possession of GSM spectrum there and there was no question of duplicating it.

While applying for the spectrum, RCom had informed the DoT that its subsidiary, Reliance Telecom Ltd, was already operating GSM services under UAS licence given to it.

RCom submitted in the petition that at the time of giving In-Principal-Approval, DoT was aware of its subsidiary company Reliance Telecom and still accepted the payment after calculating the entry fee for the said six circles.

RCom further submitted that as the government had accepted licence fee for those circles, then they are under an obligation to amend the UAS Licences and allocate the start- up spectrum to it in those circles.

It also submitted that DoT had stated them on 18 October 2007, in clear terms that their UAS Licences would be amended on deposit of requisite fee and the spectrum for cross technology would be granted to the operator who first makes the payment.

However, in present case despite making payment for entire 20 circles DoT did not amend its UAS Licences in the said six circles and instead of that spectrum had been allocated to other operators who had deposited the amount after RCom.

RCom further prayed from the Telecom Disputes Settlement and Appellate Tribunal to set aside the letter written by DoT to it withdrawing approval and to amend its UAS Licence.

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Published: 06 Jan 2009, 05:14 PM IST
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