Supreme Court Rejects Telecom Companies' Curative Pleas on AGR Dues

The Supreme Court dismissed curative pleas from telecom companies, including Vodafone Idea and Bharti Airtel, seeking correction of alleged errors in AGR dues. The court rejected pleas for an open hearing, stating no case was made within parameters. Telecom companies face penalties and high interest rates on dues.

The Supreme Court has dismissed the curative pleas of telecom companies, including Vodafone Idea and Bharti Airtel, seeking correction of alleged errors in the computation of Adjusted Gross Revenue (AGR) dues. The court rejected the petition for listing the pleas in an open court, citing a lack of merit within the specified parameters.

This decision, handed down by a bench comprising Chief Justice of India DY Chandrachud and Justices Sanjiv Khanna and BR Gavai, maintains the judgment from October 2019. Curative petitions are typically decided in private chambers. The court previously granted a decade-long period, starting March 31, 2021, for telecom companies to clear their pending AGR dues with annual payments.

The telecom giants argued that the Department of Telecom (DoT) had made computational errors amounting to thousands of crores in dues. Despite these claims, the court rejected their pleas, enforcing penalties and high interest rates. Vodafone Idea's total liabilities were pegged at ₹58,254 crore, while Bharti Airtel owed ₹43,980 crore. The court's decision has had a notable impact on stock prices, with Vodafone Idea shares dipping by 14% shortly after the judgment.

(With inputs from agencies.)