The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has asked the Department of Telecommunications (DoT) not to take any coercive action against Bharti Airtel and Bharti Hexacom. The issue pertains to a pending petition regarding the payment of licence fees by these two companies.

In November 2012, following a special audit for the financial years 2006-2007 and 2007-2008, DoT had raised demands for payment of licence fee on these two companies. Thereafter, the licence fee amount for these two years was recalculated and DoT raised a fresh demand for the same.

Subsequently, these firms challenged DoT’s demand for the revised licence fee amount before TDSAT. The companies requested TDSAT to dismiss the demands and also to bar DoT from taking any coercive action against them till the time the petition was disposed.

Bharti Airtel also took the matter to the Kerala High Court questioning the validity of the licence terms and conditions. Meanwhile, Bharti Hexacom also obtained a stay order on the matter from the Guwahati High Court.

In view of these two developments, TDSAT observed that DoT’s demands have been covered by the interim orders issued by the High Court. Therefore, a fresh order on the matter was unnecessary. Further, TDSAT said that a large number of petitions have been filed before it, wherein similar demands have been raised and TDSAT is yet to frame the final orders on these petitions. Also, the demands raised by DoT in all these petitions have been stayed by TDSAT.

Further, TDSAT has directed DoT to file its reply within four weeks on this issue and has given both companies two weeks to file their rejoinders. The matter has been listed for hearing on March 18, 2013.