The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has dismissed Idea Cellular’s petition that challenged the show-cause notices issued by the Department of Telecommunications (DoT) pertaining to the operator?s merger with Spice Communications.
TDSAT said that it considered it improper to give any order on the petition, especially since DoT had not passed a final order in the case.
S.B. Sinha, chairman, TDSAT, said that Idea Cellular was free to challenge DoT?s order, once passed. Prior to this, on July 4, 2011, the
In response, Idea Cellular told the Court that making decisions pertaining to the merger of companies did not fall under DoT jurisdiction.
Also, Idea Cellular?s counsel said that DoT had suppressed the facts pertaining to this case and that a year after the merger, it asked the High Court for a stay order on the merger, without giving notice.
The High Court had also imposed a penalty of Rs 10 million on Idea Cellular for failing to provide correct information to the Court. It had said that Idea Cellular had not placed the relevant documents on record.
The High Court had also said that a penalty should be imposed on Idea Cellular for not bringing to the notice of the Court the rejection letters dated January 7, 2010 and January 18, 2010 issued by DoT. Also, the Court said that until DoT gives Idea Cellular permission to use Spice?s licences, the overlapping licences shall stand transferred with DoT. The spectrum allocated for such overlapping licences shall also be considered reverted back to DoT.
Spice had six licences at the time when Idea Cellular bought Spice for Rs 21.76 billion in June 2008 and two licences were overlapping with Idea Cellular.
DoT had said that the merger could not be permitted, as a few of the overlapping licences were less than three years old.
