COAI seeks two year moratorium on payment of AGR dues from DoT

New Delhi, Nov 1 (SocialNews.XYZ) The Cellular Operators Association of India (COAI), in another missive to Telecom Minister Ravi Shankar Prasad, has requested that the principal repayment of past dues be done over a period of 10 years, with a two year moratorium.

As part of its outreach to the top echelons of the government seeking relief on the payment of dues to the tune of Rs 92,000 crore following the Supreme Court judgement on AGR (Adjusted Gross Revenue) last week, the COAI has now put on paper the specific sops it is seeking. Bharti Airtel and Vodafone Idea are the operators most affected by the SC judgement.

"We request that the government waive off the entire disputed amount, given the poor financial state of the sector," COAI Director General, Rajan Mathews, wrote in the letter to the Telecom Minister.

COAI is seeking a moratorium of two years and repayment over 10 years, in what will become a massive reduction from the current Rs 92,000 crore payment of dues.

"However, if such a step is not possible, we request that the government waive off the interest, penalty and interest on penalty given the background of the matter. Since, the disputed payments go back to accumulation over the past 14 years, we request that the principal repayment of past dues be done over a period of 10 years, with a two year moratorium," COAI said.

In continuation of the differences with Reliance Jio, COAI has told the government that it has a divergent view on the matter and may represent separately.

COAI had earlier highlighted the financial stress in the sector and sought relief to prevent a disastrous situation in the sector.

Source: IANS