The Supreme Court on September 1 allowed 10 years for staggered payment of adjusted gross revenue (AGR) dues by telecom companies such as Bharti Airtel and Vodafone Idea.
The bench of Justices Arun Mishra, S Abdul Nazeer and MR Shah said the 10-year timeline for payment of the dues will begin from April 1, 2021, and the payments can be made in instalments till March 31, 2031.
The date fixed for annual instalment of AGR dues by telecom companies is February 7, the SC said. Existing bank guarantee given to be kept alive and Managing Director to give the undertaking to comply with the schedule.
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The top court also directed telecom companies to pay 10 percent of the AGR dues upfront, giving time till March 31, 2021 in view of the COVID-19 pandemic.
The companies will have to submit an undertaking to pay AGR dues. Any default in payments would invite interest, penalty, along with contempt of court, the SC said.
According to the judgment, the date fixed for the annual instalments by telecom companies is February 7. Existing bank guarantee given to be kept alive and the Managing Director must give the undertaking to comply with the schedule.
The SC clarified again that no revaluation of the AGR dues will be allowed, legal news website Bar & Bench reported.
Justice Arun Mishra said the top court agreed that whether spectrum can be sold or not should be decided by National Company Law Tribunal (NCLT).