AGR Case | DoT Moves SC, Seeks 20-Year Window For Payment Of Dues

The Department of Telecommunications (DoT) has moved the Supreme Court (SC) in the adjusted gross revenue (AGR) case, seeking staggered payment over 20 years by telecom companies, CNBC-TV18 reported.

The DoT asked that telecom companies not be charged penalty, and interests on penalty and principal beyond the date of the judgement, the news channel reported.

Telecom companies will be charged an 8 percent interest on the staggered payments, the report said.

The DoT said the formula for the recovery dues was created after detailed deliberations by the government and the Cabinet. The DoT has sought the apex court’s approval for the formula.

The fresh plea cited the adverse impact of the massive pending payments on both the telecom and banking sectors.

The DoT also requested the SC to modify its AGR judgement and subsequent orders, the report added. Solicitor General Tushar Mehta appeared for the DoT.

In October 2019, the top court upheld the DoT’s new definition of AGR.

Telecom companies have been asked to clear a combined Rs 1.47 lakh crore as AGR dues, as per the DoT’s estimate. The Supreme Court will next hear the matter on March 17.

―Money Control