The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has directed the Department of Telecommunications (DoT) not to take any coercive actions against Bharti Airtel such as invoking or enchasing the bank guarantees.
DoT had demanded Rs 13.76 billion from Airtel as unpaid past dues that Videocon Telecommunications owed the government.
Earlier in 2016, Videocon Telecom, which used to offer 2G services, sold the rights to use spectrum in the 1,800 MHz band in six circles to Airtel for Rs 44.28 billion.
In its September 2020 AGR judgment, the Supreme Court held that any past liability associated with the spectrum transfer under the spectrum trading guidelines will be passed on to the buyer.
However, Airtel has been contending that it is not responsible for Videocon Telecom’s dues on account of the spectrum trading deal.
Airtel has stated that the law specifies that the seller must clear all dues prior to concluding any spectrum trading agreement. To this end, Airtel had filed a petition against the DoT demand.
The matter will now be heard on November 16, 2021.
