The Department of Telecommunications (DoT) has stated that it is up to the Supreme Court to decide whether Reliance Jio is liable for Reliance Communications’ (RCOM) adjusted gross revenue (AGR) dues with regard to traded and shared spectrum. This is because a top court bench had upheld a tribunal ruling that stated that Jio did not have to pay RCOM’s dues based on the spectrum it had acquired from the latter.
As per an affidavit filed in the Supreme Court, the DoT has stated that it will compute as per the principle laid down by the court. Further, DoT stated that spectrum trading rules give it the right to claim past dues such as AGR liabilities from either the seller or the buyer or both. However, it has not been able to hold Jio liable for RCOM’s past AGR dues for traded airwaves following the Supreme Court decision.
RCOM is currently undergoing bankruptcy resolution. In 2016, RCOM and its unit Reliance Telecom (RTL) had entered into an agreement with Reliance Jio for trading spectrum in nine circles and sharing airwaves in 17 circles.