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Fifty-six private telecom companies owe the government over Rs 1,374 crore (Rs 13.74 billion) as licence fee dues, according to latest compilations by the Department of Telecommunications.
While a significant bulk of the dues are accounted for by cable modem termination system (CMTS), e-mail, radio paging, public mobile radio trunked services (PMRTS) and VSAT service operators, the list also includes leading telecom operators such as Reliance Infocomm, Videsh Sanchar Nigam Ltd, Tata Teleservices, Bharti Cellular Ltd and Idea Cellular Ltd.
The break-up of the 56 companies is: CMTS players (10), e-mail service providers (5), international long distance operators (3), Internet Protocol-II providers (2), NLD operators (2), PMRTS operators (7), radio paging service providers (15), VSAT (7), Universal Access Service Licensees (2), basic service providers (1), and V-mail (1).
Radio paging service provider Punwire Mobile Communications has accumulated the largest dues of Rs 460 crore (Rs 4.60 billion), followed by CMTS operator Koshika Telecom at Rs 453 crore (Rs 4.53 billion).
With regard to realisation of these dues, the DoT has to consider the fact that a good number of the companies have shut shop. While not specifying details, the DoT said: "The steps taken by the government for realisation include licence fee reminders, invocation of available bank guarantees and arbitration procedures. Cancellation of licences is also resorted to in suitable cases after following the procedure prescribed in the licence agreement."
Among the leading telecom players, Reliance Infocomm had licence fees outstanding of Rs 74 crore (Rs 740 million) on basic services, 0.55 crore (Rs 5.5 million) on UASL, Rs 3.16 crore (Rs 31.6 million) on ILD, Rs 3.17 crore (Rs 31. 7billion) on NLD and Rs 0.8 crore (Rs 80 million) on CMTS, while the Tata Group had Rs 49 crore (Rs 490 million) on VSNL's ILD, Rs 0.86 crore (Rs 86 million) for NLD and 0.56 crore (Rs 56 million) on UASL licence.
When contacted, senior officials of these operators explained that the dues were on the account of differences in the adjusted gross revenue (AGR) figures submitted by the operators and those estimated by the government.
"The licence fee is calculated based on AGR -- there exist differences in the mode of calculations and definitions of this. These issues are routine and will be sorted out," added a senior executive with a leading CDMA service provider.