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Policy & Regulation
Idea moves tribunal against additional penalty
TT Correspondent |  |  07 Jan 2012

Idea Cellular has moved the telecom tribunal TDSAT against Department of Telecommunications (DoT) for slapping additional liquidated damages on it for failing to roll-out services in Maharashtra and Haryana. 

The contention of the telco is that when the main penalty for these two circles has already been set aside by the tribunal, there is no point in imposing the additional penalty. The main penalty had been set aside on 5 December.

"when the principal demand is not sustained, then how come the additional demand has come", Idea wonderedn in a rebuttal.

The counsel appearing for Idea also said that DoT has imposed penalty on it without serving a show cause notice thereby denying it an opportunity to present its case in a proper manner.

Idea said that this is not the first time that TDSAT has set aside the penalty on it as on earlier occasion it was penalized with Rs. 27.65 for not meeting the deadline in rolling out obligations in 5 circles- Karnataka, Punjab, Haryana, Andhra Pradesh and Maharashtra.  At that time also the tribunal had set aside the penalty.

Asking DoT to respond to Idea’s plea by Wednesday, TDSAT has also given direction not to take action against the telco.

    
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07 Jan 2012(IST)  
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