Bharti Airtel plans to submit certain AGR fees within 20years, in July SC to hear.

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On Thursday(18/06/20), Bharti Airtel requested the Supreme Court for giving the remaining 20 years for the pay of adjusted gross revenue (AGR) and claimed that it is an established telecommunications company and not a “fly-by-night” operator.

In a joint affidavit Bharti Airtel and Bharti Hexacon stated that, following the decision of the Court, they paid Rs 18,004 crore to the Telecommunications Department – an amount which is sixty-two percent of the total department received from all operators.

The two businesses said over the planned 20-year period no extra protections would be placed on them. The Bharti companies clarified in a letter to DOT on 6 March 2020 how these fees-free the two companies’ liabilities.

As a bank guarantee from both companies, the department has Rs 10 800 crores.

On 11 June, the Supreme Court requested Bharti Airtel and Vodafone Idea to submit an answer to the payment roadmap, payment times, and securities. Both companies say they have some time to make balance AGR payments and if they fail to do so, the government may cancel its telecom licenses.

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SC said: “Nobody has seen any extension based on a” goodman’s promise “for the next 20 years. How can it be said that 20 years is reasonable?

Airtel announced that it has already invested Rs 18,000 crore—70% of all telecommunications firms got Rs 25,600 crore. Vodafone Idea, which has obligations estimated at Rs 53,000, argued that it may not have enough capital to compensate and that the operating business will be revoked in the case that the corporation refuses to compensate.

In the case of the cancelation of licenses, the Court questioned the telecom firms if they were prepared to have bank guarantees. DOT’s AGR concept, resolving a 14 years-old legal dispute between telecoms providers and government, was adopted by the Supreme Courts on 24 October 2019.

Official figures reveal that 16 entities owe AGR Rs 1,47 trillion – Rs 92,642 crore in license fee and Rs 55,054 crore in unpaid spectrum charges


Eight of the 16 companies who issued notifications paying the AGR duties have either shut down, leased off to others, or collapsed.

SC had requested companies on February 14 to immediately deposit their previous spectrum and license dues. On 17 March, the plea for the amendment was scheduled for a hearing.

Through its appeal to the Court, the Telecom department requested, along with a no-interest and fine, for a 20-year stage award of telcos’ duties related to the AGR. On 6 March, Vodafone Idea Ltd, with an estimate of over Rs 53,000 crore, had bundled their total government dues in Rs 21,533 crore. In the context of reimbursement of its AGR debts the firm stated it had charged Rs 3,354 crore to Mark. It paid Rs 3500 crore previously.

Bharti Airtel has billed the government Rs 13,004 in two installments according to a self-evaluation plan. An extra Rs 5,000 crore was paid as an ad hoc fund to offset any gaps in mediation. According to DOT, however, Rs 35,500 must be paid by the Company.

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Similarly to the DoT calculation of business obligations at Rs 14000, the Tata Teleservices charged Rs 2, 197 crores in AGR taxes, backed up by Rs 2,000 crore to offset reconciliation gaps.

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