The Hindu Business Line : TRAI hauls up Tata Teleservices

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New Delhi Feb. 3 The Telecom Regulatory Authority of India has come down heavily on Tata Teleservices for increasing its tariffs for the limited mobile services `Walky'. It has asked the company to refund the excess money collected from the subscribers.

As per TRAI's regulations, a tariff plan once offered by an operator should be made available to a subscriber for a minimum period of six months from the date of enrolment of the subscriber, without any increase. TRAI said Tata Teleservices had increased the rental for Walky services Plan 150 from Rs 150 to Rs 199. Rental for Plan 149 was also increased from Rs 149 to Rs 199. "The unilateral increase in the tariff has adversely affected the consumers and the authority has been entrusted to protect the interest of the consumers," TRAI said in its order.

Responding to the TRAI order, Mr Ashok Sud, President, Corporate Affairs, Tata Teleservices Ltd said: "We are in receipt of the letter. We are studying the said document and will take appropriate measures. As a responsible corporate, Tata Teleservices is committed to comply with all industry regulations and policies. Incidentally, the matter is sub-judice in the Supreme Court."

Tatas had clarified that it was forced to increase the tariff because the Union Government reclassified fixed wireless telephones as mobile services, while earlier it was under the fixed telephone licence. Since levies for mobile services were at a higher rate, Tata Teleservices had to increase the tariff to compensate the outgo.

TRAI, however, said the response given by Tata Teleservices was not satisfactory and asked the operator to furnish the number of subscribers affected due to the increase in tariff and the amount which is likely to become due to be refunded to them within the next 15 days.

TRAI has directed Tata Teleservices to not utilise the excess amount, charged from the subscribers for any purpose other than refunding it to the consumers.

According to sources, TRAI may take similar action against other operators who had recently increased their tariffs. TRAI may also ask all operators to create a separate escrow account to deposit the excess money for the purpose of refund.

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