India`s top court on Tuesday gave telecom firms 10 years to pay back dues they owe to the federal government after they failed to make the payment by the January deadline.

Telecom providers in India pay the Department of Telecommunications (DoT) nearly 3-5% of their adjusted gross revenue (AGR) in usage charges for spectrum or airwaves and 8% of AGR as licence fees, but they have been at odds on the definition of AGR.

The decision would provide some respite to embattled Vodafone Idea Ltd, a joint venture between Britain`s&nbsp; 
Vodafone Group Plc and India`s Idea Cellular, even though it had asked the court for 15 years to complete payments.

The Supreme Court, however, asked that telecoms firms pay 10% of the dues owed by March 31, 2021.

Vodafone Idea, seen as the most vulnerable if the court did not allow for staggered payments, has so far paid 78.54 billion Indian rupees ($1.08 billion), but still owes roughly 500 billion to the government.

Bharti Airtel has said it has paid its complete dues of 180 billion rupees on the basis of self-assessment, but still needs to pay another 259.76 billion rupees, according to government calculations.

Shares in Vodafone Idea were down 14.7%, while Bharti was up 5.3% at 0623 GMT. 
($1 = 72.7800 Indian rupees) 
&nbsp;

India`s top court on Tuesday gave telecom firms 10 years to pay back dues they owe to the federal government after they failed to make the payment by the January deadline.

India`s top court on Tuesday gave telecom firms 10 years to pay back dues they owe to the federal government after they failed to make the payment by the January deadline. Telecom providers in India pay the Department of Telecommunications (DoT) nearly 3-5% of their adjusted gross revenue (AGR) in usage charges for spectrum or airwaves and 8% of AGR as licence fees, but they have been at odds on the definition of AGR. The decision would provide some respite to embattled Vodafone Idea Ltd, a joint venture between Britain`s Vodafone Group Plc and India`s Idea Cellular, even though it had asked the court for 15 years to complete payments. The Supreme Court, however, asked that telecoms firms pay 10% of the dues owed by March 31, 2021. Vodafone Idea, seen as the most vulnerable if the court did not allow for staggered payments, has so far paid 78.54 billion Indian rupees ($1.08 billion), but still owes roughly 500 billion to the government. Bharti Airtel has said it has paid its complete dues of 180 billion rupees on the basis of self-assessment, but still needs to pay another 259.76 billion rupees, according to government calculations. Shares in Vodafone Idea were down 14.7%, while Bharti was up 5.3% at 0623 GMT. ($1 = 72.7800 Indian rupees)

Supreme Court gives Vodafone-Idea, Airtel 10 years to pay AGR dues to government

After a Supreme Court rap for missing payment deadline, top telecom firms Bharti Airtel, Vodafone Idea and Tata Teleservices on Monday scrambled to pay a part of the outstanding dues even as the apex court refused to stop the government from taking coercive action for any further delay in clearing full dues.

While Airtel paid Rs 10,000 crore, Vodafone Idea Ltd put in Rs 2,500 crore and promised to pay another Rs 1,000 crore before the end of the week. Tata Teleservices Ltd paid Rs 2,197 crore, the entire outstanding it believes to have arisen after the October 24 ruling of the apex court for calculating dues after adding non-telecom revenues.

The Department of Telecommunications (DoT), which was last week rapped on the knuckles for ordering no coercive action even after telcos missed the January 23 payment deadline set by the Supreme Court, is mulling the option of encashing bank guarantees given by firms when they got telecom licences, sources said.

Encashing of the bank guarantees may sound the death knell for companies such as Vodafone Idea Ltd which has been struggling to garner the dues. 
In a related development, the telecom companies started disputing the DoT estimate of the due amount and indicated they will pay as per their 'self-assessment'.

Also read: <a href="https://www.wionews.com/india-news/the-telecom-story-consequences-of-supreme-courts-ruling-281215">The telecom tremors - Consequences of Supreme Court's ruling</a>

The telecom department officials will meet on Tuesday to discuss whether or not the bank guarantees should be encashed, as none of the telcos has paid the full payment.

Sources said that the option of encashment of bank guarantees is being considered and that "nothing is off the table". A decision on the matter may be taken on Tuesday, the source added.

Separately, Reserve Bank of India (RBI) Governor Shaktikanta Das in an interview to PTI said that the central bank is "very closely monitoring" the fallout of the crisis on lenders.

In the Supreme Court, senior advocate Mukul Rohatgi, appearing on behalf of Vodafone Idea, urged for no coercive action after the initial payment of Rs 2,500 crore is made by the end of the day and another Rs 1,000 crore by Friday. The apex court rejected the plea, giving room to DoT to take coercive action including encashment of the bank guarantees.

A financial bank guarantee is equal to two quarters of licence fee and other dues. This amount could be in the range of Rs 5,000 crore for Airtel and Vodafone Idea.

Meanwhile, Oil Minister Dharmendra Pradhan on Monday said he believes non-telecom PSUs are not covered by the Supreme Court order that asked telecom licence holders to pay statutory dues after including non-telecom revenues.

Following the October 24 Supreme Court ruling that non-telecom revenues of telecom firms such as Bharti Airtel and Vodafone Idea should be included for considering payments of government dues, the telecom department sought Rs 1.83 lakh crore from gas utility GAIL India Ltd, about Rs 48,500 crore from OIL, Rs 21,953.65 crore from Power Grid Corp and Rs 15,020 crore from Gujarat Narmada Valley Fertilizers &amp; Chemicals Ltd.

The government's demand from such companies was many times more than their net worth.

"The DoT has served notice to government oil companies due to some communication gap. We have placed our side after doing all legal consultations," Pradhan said adding telecom was not a core business for these PSUs.

The Supreme Court last week rejected a plea by mobile carriers such as Bharti Airtel and Vodafone Idea Ltd for extension in the payment schedule and asked them to deposit an estimated Rs 1.47 lakh crore in past dues for spectrum and licences. It threatened to initiate contempt proceedings against top executives of these firms for non-payment.

Some telecom firms are already struggling with mounting losses and debt and the additional liability has raised concerns of them defaulting on existing loans.

Of the estimated dues that include interest and penalty for late payments, Airtel and Vodafone Idea owe about 60 per cent.

While Airtel on Monday paid Rs 10,000 crore out of the Rs 35,586 crore dues that DoT thinks the company owes to the government, Vodafone Idea paid Rs 2,500 crore and promised to pay another Rs 1,000 crore by Friday to clear a part of the DoT estimated dues of Rs 53,000 crore.

Airtel said it will clear the remaining dues before the next date of hearing on March 17 but Vodafone Idea has so far not provided a clear deadline for making further payments.

"Tata Teleservices Ltd and Tata Teleservices (Maharashtra) Ltd have made a payment of Rs 2,197 crore to the DoT towards license fee and spectrum usage charges," the company said in a statement.

The payment is to settle all its AGR outstanding.

"TTSL and TTML have also submitted to DoT the details of calculations in support of the payment," it said.

In a regulatory filing, Bharti Airtel said it has paid "an amount of Rs 10,000 crore to the DoT" which includes an amount on behalf of Telenor India (the firm which merged with the company) and Rs 500 crore on behalf of Bharti Hexacom Limited, a subsidiary.

"The company is in a process of completing the self-assessment exercise expeditiously and will make the balance payment upon completion of the same, before the next date of hearing in the Supreme Court," it added.

In a separate statement, Vodafone Idea Ltd said its authorised the company to pay Rs 2,500 crore immediately and another Rs 1,000 crore before the end of the week.

"The board will take further stock of the situation to see how further additional payments can be made," the company said in a regulatory filing.

After a Supreme Court rap for missing payment deadline, top telecom firms Bharti Airtel, Vodafone Idea and Tata Teleservices on Monday scrambled to pay a part of the outstanding dues even as the apex court refused to stop the government from taking coercive action for any further delay in clearing full dues.

After a Supreme Court rap for missing payment deadline, top telecom firms Bharti Airtel, Vodafone Idea and Tata Teleservices on Monday scrambled to pay a part of the outstanding dues even as the apex court refused to stop the government from taking coercive action for any further delay in clearing full dues. While Airtel paid Rs 10,000 crore, Vodafone Idea Ltd put in Rs 2,500 crore and promised to pay another Rs 1,000 crore before the end of the week. Tata Teleservices Ltd paid Rs 2,197 crore, the entire outstanding it believes to have arisen after the October 24 ruling of the apex court for calculating dues after adding non-telecom revenues. The Department of Telecommunications (DoT), which was last week rapped on the knuckles for ordering no coercive action even after telcos missed the January 23 payment deadline set by the Supreme Court, is mulling the option of encashing bank guarantees given by firms when they got telecom licences, sources said. Encashing of the bank guarantees may sound the death knell for companies such as Vodafone Idea Ltd which has been struggling to garner the dues. In a related development, the telecom companies started disputing the DoT estimate of the due amount and indicated they will pay as per their 'self-assessment'. Also read: The telecom tremors - Consequences of Supreme Court's ruling The telecom department officials will meet on Tuesday to discuss whether or not the bank guarantees should be encashed, as none of the telcos has paid the full payment. Sources said that the option of encashment of bank guarantees is being considered and that "nothing is off the table". A decision on the matter may be taken on Tuesday, the source added. Separately, Reserve Bank of India (RBI) Governor Shaktikanta Das in an interview to PTI said that the central bank is "very closely monitoring" the fallout of the crisis on lenders. In the Supreme Court, senior advocate Mukul Rohatgi, appearing on behalf of Vodafone Idea, urged for no coercive action after the initial payment of Rs 2,500 crore is made by the end of the day and another Rs 1,000 crore by Friday. The apex court rejected the plea, giving room to DoT to take coercive action including encashment of the bank guarantees. A financial bank guarantee is equal to two quarters of licence fee and other dues. This amount could be in the range of Rs 5,000 crore for Airtel and Vodafone Idea. Meanwhile, Oil Minister Dharmendra Pradhan on Monday said he believes non-telecom PSUs are not covered by the Supreme Court order that asked telecom licence holders to pay statutory dues after including non-telecom revenues. Following the October 24 Supreme Court ruling that non-telecom revenues of telecom firms such as Bharti Airtel and Vodafone Idea should be included for considering payments of government dues, the telecom department sought Rs 1.83 lakh crore from gas utility GAIL India Ltd, about Rs 48,500 crore from OIL, Rs 21,953.65 crore from Power Grid Corp and Rs 15,020 crore from Gujarat Narmada Valley Fertilizers & Chemicals Ltd. The government's demand from such companies was many times more than their net worth. "The DoT has served notice to government oil companies due to some communication gap. We have placed our side after doing all legal consultations," Pradhan said adding telecom was not a core business for these PSUs. The Supreme Court last week rejected a plea by mobile carriers such as Bharti Airtel and Vodafone Idea Ltd for extension in the payment schedule and asked them to deposit an estimated Rs 1.47 lakh crore in past dues for spectrum and licences. It threatened to initiate contempt proceedings against top executives of these firms for non-payment. Some telecom firms are already struggling with mounting losses and debt and the additional liability has raised concerns of them defaulting on existing loans. Of the estimated dues that include interest and penalty for late payments, Airtel and Vodafone Idea owe about 60 per cent. While Airtel on Monday paid Rs 10,000 crore out of the Rs 35,586 crore dues that DoT thinks the company owes to the government, Vodafone Idea paid Rs 2,500 crore and promised to pay another Rs 1,000 crore by Friday to clear a part of the DoT estimated dues of Rs 53,000 crore. Airtel said it will clear the remaining dues before the next date of hearing on March 17 but Vodafone Idea has so far not provided a clear deadline for making further payments. "Tata Teleservices Ltd and Tata Teleservices (Maharashtra) Ltd have made a payment of Rs 2,197 crore to the DoT towards license fee and spectrum usage charges," the company said in a statement. The payment is to settle all its AGR outstanding. "TTSL and TTML have also submitted to DoT the details of calculations in support of the payment," it said. In a regulatory filing, Bharti Airtel said it has paid "an amount of Rs 10,000 crore to the DoT" which includes an amount on behalf of Telenor India (the firm which merged with the company) and Rs 500 crore on behalf of Bharti Hexacom Limited, a subsidiary. "The company is in a process of completing the self-assessment exercise expeditiously and will make the balance payment upon completion of the same, before the next date of hearing in the Supreme Court," it added. In a separate statement, Vodafone Idea Ltd said its authorised the company to pay Rs 2,500 crore immediately and another Rs 1,000 crore before the end of the week. "The board will take further stock of the situation to see how further additional payments can be made," the company said in a regulatory filing.

Airtel, Voda, Idea make part payment; DoT mulls encashing bank guarantees

Wireless carrier Idea Cellular on Wednesday launched a share sale to institutional investors to raise up to 35 billion rupees ($546 million) ahead of its merger with Vodafone&#39;s Indian business.

Idea, part of the metals-to-financials Aditya Birla conglomerate, intends to use the funds to reduce debt including loans for airwave purchases, it said in a regulatory filing.

Last month Idea announced plans to raise a total 67.5 billion rupees ahead of proposed merger, which the two sides expect to close during the first half of this year.

Idea said that the share sale launched on Wednesday has a floor price of 86.84 rupees per share, with a potential discount of up to 5 percent. The shares closed at 84.80 rupees on the National Stock Exchange.

Bank of America Merrill Lynch and Citigroup are managing the sale.

 
&nbsp;

The wireless carrier on Wednesday launched a share sale to institutional investors ahead of its merger with Vodafone's Indian business

Wireless carrier Idea Cellular on Wednesday launched a share sale to institutional investors to raise up to 35 billion rupees ($546 million) ahead of its merger with Vodafone's Indian business. Idea, part of the metals-to-financials Aditya Birla conglomerate, intends to use the funds to reduce debt including loans for airwave purchases, it said in a regulatory filing. Last month Idea announced plans to raise a total 67.5 billion rupees ahead of proposed merger, which the two sides expect to close during the first half of this year. Idea said that the share sale launched on Wednesday has a floor price of 86.84 rupees per share, with a potential discount of up to 5 percent. The shares closed at 84.80 rupees on the National Stock Exchange. Bank of America Merrill Lynch and Citigroup are managing the sale.

Idea Cellular launches up to $546 million share sale

Britain&#39;s Vodafone Group will merge its Indian subsidiary with local rival Idea Cellular within two years,&nbsp;&nbsp;Idea said today. The new entity will compete with Reliance Jio that has unleashed a fierce price war.

Kumar Mangalam Birla will be the chairman of the merged entity.&nbsp;

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I am pleased and honoured to be the chairman of the new company: Kumar Mangalam Birla after Vodafone India-IDEA merger (file pic) <a href="https://t.co/p7csrklCuz">pic.twitter.com/p7csrklCuz</a>
&mdash; ANI (@ANI_news) <a href="https://twitter.com/ANI_news/status/843710972409782272">March 20, 2017</a></blockquote>
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According to some reports, Idea said Vodafone will own 45.1 per cent of the merged entity, after it transfers about 4.9 per cent to promoters of Idea and/or their affiliates for 38.74 billion rupees ($592.15 million) in cash. PTI, however, says&nbsp;both companies will have an equal stake.&nbsp;

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<a href="https://twitter.com/hashtag/Vodafone?src=hash">#Vodafone</a>, <a href="https://twitter.com/hashtag/Idea?src=hash">#Idea</a> to have equal stakes in the merged entity over a period of time: chiefs of both companies.
&mdash; Press Trust of India (@PTI_News) <a href="https://twitter.com/PTI_News/status/843708844052242437">March 20, 2017</a></blockquote>
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The merger will see $10 billion&nbsp;in cost, capex synergies, reports said.

&quot;Vodafone Group Plc and Idea Cellular announced that they have reached an agreement to combine their operations in India,&quot; they said in a statement to the Bombay Stock Exchange (BSE).

&quot;The combined company would become the leading communications provider in India with almost 400 million customers, 35 per cent customer market share and 41 per cent revenue market share,&quot; the statement added.

The confirmation ended months of speculation that the two operators were ready to sign a deal to help fend off Reliance Jio, whose recent arrival has shaken up India&#39;s ultra-competitive mobile network market.

Shares in Idea rose as much as 14.25 per cent immediately after the merger news but gave up gains to be trading up 3.8 per cent.

The merger of Vodafone - the world&#39;s second-largest cellphone network operator - with the Aditya Birla Group firm - India&#39;s third-largest cellular operator - would create a company with around 387 million users and form one of the largest telecom companies in the world.

Since its entry in India in 2007, Vodafone has become the number-2 operator in the country, but its journey has been tumultuous as it is locked in a legal battle with the government over a $2 billion retrospective tax claim over its acquisition of Vodafone India from Hutchison in 2007.

It had written down value of business by 5 billion pound ($3.35 billion) late last year. The British firm has pumped in more than $7 billion into the India unit.

Backed by India&#39;s richest man Mukesh Ambani, Reliance Jio Infocomm is offering free voice calls and data till March and has notched up 74 million users. It has already invested over $25 billion and is investing another Rs 30,000 crore ($4.8 billion).

&nbsp;

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In what could be the biggest telecom operator merger in India, Idea Cellular has approved its amalgamation with Vodafone India. (WION)
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(WION)

The merger will create a company with around 387 million users?and form one of the largest telecom companies in the world.

Britain's Vodafone Group will merge its Indian subsidiary with local rival Idea Cellular within two years, Idea said today. The new entity will compete with Reliance Jio that has unleashed a fierce price war. Kumar Mangalam Birla will be the chairman of the merged entity. I am pleased and honoured to be the chairman of the new company: Kumar Mangalam Birla after Vodafone India-IDEA merger (file pic) pic.twitter.com/p7csrklCuz — ANI (@ANI_news) March 20, 2017 × According to some reports, Idea said Vodafone will own 45.1 per cent of the merged entity, after it transfers about 4.9 per cent to promoters of Idea and/or their affiliates for 38.74 billion rupees ($592.15 million) in cash. PTI, however, says both companies will have an equal stake. #Vodafone, #Idea to have equal stakes in the merged entity over a period of time: chiefs of both companies. — Press Trust of India (@PTI_News) March 20, 2017 × The merger will see $10 billion in cost, capex synergies, reports said. "Vodafone Group Plc and Idea Cellular announced that they have reached an agreement to combine their operations in India," they said in a statement to the Bombay Stock Exchange (BSE). "The combined company would become the leading communications provider in India with almost 400 million customers, 35 per cent customer market share and 41 per cent revenue market share," the statement added. The confirmation ended months of speculation that the two operators were ready to sign a deal to help fend off Reliance Jio, whose recent arrival has shaken up India's ultra-competitive mobile network market. Shares in Idea rose as much as 14.25 per cent immediately after the merger news but gave up gains to be trading up 3.8 per cent. The merger of Vodafone - the world's second-largest cellphone network operator - with the Aditya Birla Group firm - India's third-largest cellular operator - would create a company with around 387 million users and form one of the largest telecom companies in the world. Since its entry in India in 2007, Vodafone has become the number-2 operator in the country, but its journey has been tumultuous as it is locked in a legal battle with the government over a $2 billion retrospective tax claim over its acquisition of Vodafone India from Hutchison in 2007. It had written down value of business by 5 billion pound ($3.35 billion) late last year. The British firm has pumped in more than $7 billion into the India unit. Backed by India's richest man Mukesh Ambani, Reliance Jio Infocomm is offering free voice calls and data till March and has notched up 74 million users. It has already invested over $25 billion and is investing another Rs 30,000 crore ($4.8 billion). In what could be the biggest telecom operator merger in India, Idea Cellular has approved its amalgamation with Vodafone India. (WION) × (WION)

Vodafone, Idea Cellular to merge, set to become India?s largest telecom operator

Global telecom giant Vodafone said it is in discussion to merge its India mobile business with Aditya Birla group&#39;s Idea Cellular - a move that would create the largest telecom entity to take on rivals such as Airtel and Reliance Jio.

&quot;Vodafone confirms that it is in discussions with the Aditya Birla group about an all-share merger of Vodafone India (excluding Vodafone&#39;s 42 per cent stake in Indus Towers) and Idea,&quot; Vodafone said in a statement.

Any merger will be effected through issuance of new shares in Idea to Vodafone and would result in de-consolidation of Vodafone India, it added.

A Vodafone-Idea combined entity would have 43 per cent revenue market share as against the 33 per cent of Bharti Airtel currently and 13 per cent for Reliance Jio by 2018-19, a CLSA report had said.

Vodafone did not share the details of the potential deal, saying, &quot;there is no certainty that any transaction will be agreed, nor as to the terms or timing of any transaction&quot;.

While Bharti Airtel is the largest telecom operator in India with 263.35 million mobile subscribers, Vodafone has 202.79 million users and Idea Cellular 187.68 million.

With 32.84 per cent, Bharti Airtel has the maximum market share, but the combined entity of Vodafone India and Idea will command 43 per cent, say analysts.

&quot;Our analysis of a potential merger of Vodafone India with Idea Cellular reveals that such a mega deal would change the industry order,&quot; CLSA had said.

(PTI)

The idea behind this merger is to take on rivals such as Airtel and Reliance Jio

Global telecom giant Vodafone said it is in discussion to merge its India mobile business with Aditya Birla group's Idea Cellular - a move that would create the largest telecom entity to take on rivals such as Airtel and Reliance Jio. "Vodafone confirms that it is in discussions with the Aditya Birla group about an all-share merger of Vodafone India (excluding Vodafone's 42 per cent stake in Indus Towers) and Idea," Vodafone said in a statement. Any merger will be effected through issuance of new shares in Idea to Vodafone and would result in de-consolidation of Vodafone India, it added. A Vodafone-Idea combined entity would have 43 per cent revenue market share as against the 33 per cent of Bharti Airtel currently and 13 per cent for Reliance Jio by 2018-19, a CLSA report had said. Vodafone did not share the details of the potential deal, saying, "there is no certainty that any transaction will be agreed, nor as to the terms or timing of any transaction". While Bharti Airtel is the largest telecom operator in India with 263.35 million mobile subscribers, Vodafone has 202.79 million users and Idea Cellular 187.68 million. With 32.84 per cent, Bharti Airtel has the maximum market share, but the combined entity of Vodafone India and Idea will command 43 per cent, say analysts. "Our analysis of a potential merger of Vodafone India with Idea Cellular reveals that such a mega deal would change the industry order," CLSA had said. (PTI)

Vodafone in merger talks with Idea Cellular in India

India&#39;s Attorney General Mukul Rohatgi has sanctioned the telecom regulatory authority to impose a cumulative fine of Rs 3,050 crore ($4.48 billion) on three telecom operators -- Bharti Airtel, Vodafone and Idea Cellular -- for poor service quality. 
 
&quot;Attorney General has opined that DoT (Department of Telecom) can impose penalty on telecom operators for violating quality of service rules,&quot; a source told PTI.

This comes after Reliance Jio complained that over 75 per cent of calls on its network were failing as incumbents were not giving sufficient points of interconnect to help complete calls -- a move which has been dubbed as &quot;anti-consumer&quot;.

If the DoT intends to levy a penalty, Airtel and Vodafone would have to pay Rs 1,050 crore ($1.5 billion) penalty and Idea would have to pay Rs 950 ($1.3 billion) crore fine.

The three service proders had come close to seeing their licence being revoked by Indian authorities. The only saving grace for them was that it would lead to &quot;significant consumer inconvenience&quot;.

TRAI, the telecom regulatory authority, found the three companies were non-compliant with licence conditions and service quality norms, leading to the high rate of call failures and congestion at interconnect points for Reliance Jio, the new entrant in the telecom market.

Reacting to the development, Bharti Airtel Chairman Sunil Bharti Mittal said, &quot;We have taken a position that these penalties have been completely done in haste. We have written to TRAI, we have written to DoT. What I understand, DoT has set up a committee to look into this recommendation of TRAI. We are all waiting for the outcome of that.&quot;

(WION with inputs from PTI)

The three companies very close to having their licence revoked by Indian authorities for trying to stymie Reliance Jio's service

India's Attorney General Mukul Rohatgi has sanctioned the telecom regulatory authority to impose a cumulative fine of Rs 3,050 crore ($4.48 billion) on three telecom operators -- Bharti Airtel, Vodafone and Idea Cellular -- for poor service quality. "Attorney General has opined that DoT (Department of Telecom) can impose penalty on telecom operators for violating quality of service rules," a source told PTI. This comes after Reliance Jio complained that over 75 per cent of calls on its network were failing as incumbents were not giving sufficient points of interconnect to help complete calls -- a move which has been dubbed as "anti-consumer". If the DoT intends to levy a penalty, Airtel and Vodafone would have to pay Rs 1,050 crore ($1.5 billion) penalty and Idea would have to pay Rs 950 ($1.3 billion) crore fine. The three service proders had come close to seeing their licence being revoked by Indian authorities. The only saving grace for them was that it would lead to "significant consumer inconvenience". TRAI, the telecom regulatory authority, found the three companies were non-compliant with licence conditions and service quality norms, leading to the high rate of call failures and congestion at interconnect points for Reliance Jio, the new entrant in the telecom market. Reacting to the development, Bharti Airtel Chairman Sunil Bharti Mittal said, "We have taken a position that these penalties have been completely done in haste. We have written to TRAI, we have written to DoT. What I understand, DoT has set up a committee to look into this recommendation of TRAI. We are all waiting for the outcome of that." (WION with inputs from PTI)

India's top law officer green-lights $4 billion penalty on telcos for poor service

India&#39;s third-largest telecoms operator, Idea Cellular Ltd, on Monday posted an 88 per cent slump in second-quarter profit, as revenue fell on cheaper voice and data plans rolled out to counter new competition.

Idea posted a consolidated net profit of 914.6 million Indian Rupees ($13.68 million) in the quarter ended September 30, compared with 7.62 billion Rupees a year ago, the company said in a statement.

The profit missed an average estimate of 1.55 billion Rupees from 13 analysts polled by Thomson Reuters.

Revenue dropped 7 per cent to 92.99 billion Rupees.

(Reuters)

Idea posted an 88% slump in second-quarter profit, as revenue fell on cheaper voice and data plans rolled out to counter new competition

India's third-largest telecoms operator, Idea Cellular Ltd, on Monday posted an 88 per cent slump in second-quarter profit, as revenue fell on cheaper voice and data plans rolled out to counter new competition. Idea posted a consolidated net profit of 914.6 million Indian Rupees ($13.68 million) in the quarter ended September 30, compared with 7.62 billion Rupees a year ago, the company said in a statement. The profit missed an average estimate of 1.55 billion Rupees from 13 analysts polled by Thomson Reuters. Revenue dropped 7 per cent to 92.99 billion Rupees. (Reuters)

India: Idea Cellular Q2 profit slumps amid fierce competition

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