The Hindu Business Line : ByCell taps FIPB for review of mobile services bid

NEW DELHI: Swiss telecom firm ByCell has approached the Foreign Investment Promotion Board (FIPB) to reconsider its proposal to start telecom services in India and the matter will be taken up later this week.

Earlier, the Government had revoked all foreign collaboration approvals given to the firm on security reasons.

ByCell has approached the FIPB against revocation of all foreign collaboration approvals and the matter is listed in the agenda for the next meeting of the board slated for July 24. The proposal involved an investment of over Rs 2,500 crore in five circ les across 13 states in the country.

The decision was taken on the basis of withdrawal of security clearance by the Ministry of Home Affairs. The Ministry had raised objections over concerns regarding the original sources and channel of flow of funds.

ByCell Holding AG, Switzerland, holds 64.66 per cent in ByCell Telecommunications India, while its Indian partner Bitcorp holds 35.34 per cent. Earlier this year, ByCell had dragged the FIPB and the Department of Telecom to court over failure to grant th e company a telecom licence. - PTI

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