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SC rejects DoT plea on licence fee interest refund

By Our Legal Correspondent

NEW DELHI March 4. The Supreme Court today dismissed a petition filed by the Department of Telecommunications challenging an order of the Telecom Disputes Settlement and Appellate Tribunal (TDSAT).

The TDSAT had directed the Government to refund the interest on licence fee collected by it from four operators.

A bench, comprising Justice S. Rajendra Babu and Justice A.R. Lakshmanan, upheld the TDSAT's order for refund of interest to Birla AT & T Communication, BPL Mobile, Escotel Mobile and Fascel, after their migration from the licence fee to revenue-sharing regime.

The bench did not accept the contention of the Government that the tribunal had no jurisdiction to issue such a directive.

By an order passed in April last, the tribunal asked the Government to pay five per cent interest on licence fee for six months as the date for implementation of the migration package for telecom companies was extended by six months in 2000.

The appeal was directed against this order.

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