• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Canvas
• Praxis
• Urban Pulse
• Brand Quest
• The New Manager

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

Thomas K. Thomas

New Delhi, Sept. 9 Idea Cellular has asked the Department of Telecom (DoT) to withdraw the show-cause notice and the liquidated damage charges imposed on the company for not fulfilling its rollout obligations in Delhi.

The company has said that the delay in starting operations was caused due to the delay in getting spectrum from the DoT.

In a letter to DoT, the company said: “We are surprised and dismayed to receive the show-cause. The licence represents a contract with mutual obligation. If there is a breach, it is to be determined which of the contracting parties is the cause and which party suffered as a consequence.”

It added: “It is clear that the inability to obtain Telecom Engineering Centre approval in time was a direct consequence of delays caused by the licensor (DoT). It is also clear that the delay in launch of commercial operations in Delhi has caused a large and enduring business loss to Idea, which, if valued correctly, would run into very large sums.”

“Our entire network and other infrastructure was ready for launch of service by May-June 2002 but had to remain idle for 5-6 months, at huge cost,” said the letter from Mr Sanjeev Aga, Managing Director, Idea Cellular.

DoT officials, however, said that it was clearly mentioned in the licence agreement that no operator could blame the Government or the licensor for any delay in fulfilling rollout obligations.

More Stories on : Telecommunications | Regulatory Bodies & Rulings | Broadband

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
FCCB drives growth overseas

Copyright © 2007, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line