Vodafone moves Delhi high court against Trai penalty recommendation
Vodafone moved Delhi hight court against Trai’s recommendation of Rs1,050 crore penalty on the telecom service provider for not providing interconnectivity to Reliance Jio
New Delhi: The Delhi high court on Wednesday sought the government’s response on Vodafone’s plea against telecom regulator Telecom Regulatory Authority of India’s (Trai) recommendation to impose a Rs1,050 crore penalty on it for not providing interconnectivity to Reliance Jio.
Justice Sanjeev Sachdeva also issued notice to the Trai and sought its reply to Vodafone’s plea alleging that despite the department of telecommunications (DoT) asking it to reconsider its recommendation, it did not do so.
The court listed the matter for hearing on 19 July.
Vodafone told the court that the Trai had first made the recommendation on 21 October 2016, following which it was sent back to the regulator by the DoT for reconsideration.
However, the regulator on 24 May reiterated its earlier recommendation, the telecom service provider said and added that this decision was taken without hearing it.
It also claimed that while the DoT was concurring with it, Trai was taking a different stand.
The court then asked why should there be a stay of the recommendation as the DoT was yet to take a final view on it.
In response to the query, Vodafone said that Reliance Jio had used the recommendation to lodge a complaint with the Competition Commission of India (CCI) alleging unfair trade practice by telecom service providers, including Airtel and Idea.
Vodafone, in its application, has also said that pursuant to the complaint, the CCI has reportedly initiated an investigation against it and the other telecom majors.
The application has been filed by the telecom service provider in its main petition challenging the Trai’s October 2016 recommendation.
Trai had earlier told the court that it was not required to give a hearing to Vodafone before it gave its recommendation and admitted that no such hearing was given to the telecom service provider.
Trai has recommended imposition of a fine of Rs50 crore for each of the 21 circles of Vodafone, except in Jammu and Kashmir, coming to a total of Rs1,050 crore.
Similar recommendations were issued by the regulator against Airtel and Idea.