In a big relief to telecom companies, the Supreme Court has allowed telcos 10 years to make staggered payment of the pending AGR dues. The apex court said the telecom companies have to pay 10 per cent of total pending dues upfront and can't default on the annual payments. The SC has also fixed February 7 as the date for annual installment. The court said the telecom companies, including Airtel, Vodafone Idea and others, must pay the 10% pending dues by March 31, 2021.
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11.50 AM: The SC has also allowed the telecom companies, including Airtel, Vodafone Idea and others, to pay the 10% of the dues by March 31, 2021.
11.47 AM: The apex court has said if telcos default on the annual AGR installment, interest would accrue and it may also invite contempt of court.
11.46 AM: The SC has fixed February 7 as the date for annual installment of AGR dues.
11.43 AM: The Supreme Court has said the telecom companies must have to pay the 10 per cent of total pending dues upfront.
11.42 AM: The Supreme Court has allowed 10 years for staggered payment of AGR dues.
11.33 AM: Judges and lawyers have assembled to pronounce the final verdict on the 14-year-old AGR case.
11.29 AM: The SC to announce whether telcos can transfer the spectrum rights, and sell it under Insolvency and Bankruptcy Code (IBC). This mostly applies to three operators that have become insolvent, namely Reliance Communications, Aircel and Videocon Telecom.
10.40 AM: The SC will ascertain the AGR liability of Jio and Airtel for the spectrum deals that they have done with the insolvent telcos. Jio, for instance, went into a spectrum trading and sharing agreement with RCom in 2016 where Jio had bought airwaves in the 800 megahertz band from RCom in 13 circles in addition to sharing spectrum in the same band in some other circles. Airtel, on the other hand, had spectrum sharing and trading agreements with Aircel and Videocon Telecom.
10.20 AM: As of now, out of 15 affected telcos, five have paid just a fraction - about Rs 30,254 crore - of the AGR dues to DoT out of the total demand of Rs 1.69 lakh crore.
10.18 AM: While the Department of Telecommunications had sought a 20-year time frame for payment of AGR related dues, incumbent telcos Vodafone Idea and Bharti Airtel have sought 15 years for the same.
10.10 AM: The bench has outlined three areas on which it would pass the judgement:
- Timeline for staggered payment schedule on AGR dues by telcos
- Decision on recovery of AGR related dues from telecom companies facing insolvency proceedings
- Whether spectrum given to these companies can be sold