- The court said, its decision on the AGR case was misunderstood
- Court was not hearing the case of AGR dues of PCSU companies
Jun 11, 2020, 05:03 PM IST
new Delhi. The Supreme Court on Thursday said that the demand for dues of Rs 4 lakh crore in AGR funds from government companies cannot be accepted. this is unfair. The court said that the Department of Telecommunications (DoT) should consider withdrawing this demand. A bench of Justices Arun Mishra, Justice S Abdul Nazir and Justice MR Shah questioned the demand for AGR dues from government companies, saying that its order in this case was misunderstood. The court was not hearing the AGR dues case of PCSU companies.
DOT will file an affidavit stating the reason for the demand
Solicitor General Tushar Mehta in the court on behalf of the DoT said that he would file an affidavit to explain why the government companies were asked to pay AGR dues. DOT has demanded arrears of about Rs 1.83 lakh crore from GAIL India, Rs 48,489 crore from Oil India, Rs 22,062.65 crore from Power Grid Corporation of India (PGCIL) and Rs 15,019.97 crore from Gujarat Narmada Valley Fertilizers Corporation (GNFC). In a hearing on Thursday on the AGR dues issue, the bench also asked private sector telecom companies to file an affidavit to explain how they would pay AGR dues.
In the last hearing, the court reprimanded private mobile companies for assessing the dues themselves.
On May 18, the Supreme Court had reprimanded Bharti Airtel, Vodafone Idea and other mobile phone companies for assessing their dues. On that day, the court asked these companies to pay the previous dues along with interest and fines. This amount totals about 1.6 lakh crores. The court also reprimanded the DoT for allowing companies to assess their dues. The court had said that the decision which we gave for calculating the dues on 24 October 2019 is the last.