Date:21/01/2005 URL: http://www.thehindubusinessline.com/2005/01/21/stories/2005012102230300.htm

Back Illegal routing of international calls — Tribunal puts on hold DoT penalty on Reliance till Feb 8

Our Bureau

Reliance had moved the TDSAT earlier this week challenging the Rs 150-crore penalty imposed by DoT.

New Delhi , Jan. 20

RELIANCE Infocomm on Thursday got a temporary relief from paying the penalty imposed by the Department of Telecom for illegal routing of international traffic, with the Telecom Disputes Settlement Appellate Tribunal issuing a directive that there should be no recovery till the next date of hearing on February 8.

The company had moved TDSAT earlier this week, challenging the Rs 150-crore penalty imposed by DoT for the licence violation.

Hearing the petition, Mr Justice D.P. Wadhwa, Chairman, TDSAT, ruled that no further action be taken till the case came up for hearing.

Although this does not mean that the company has won a `stay' on the penalty, the TDSAT's order gives a reprieve to Reliance for a few weeks. Following the TDSAT's directive, Mr C.A. Sunderam, DoT's counsel, said that "the order stands and it has not been stayed. Till the next date of hearing, we will just wait and see."

Mr Justice Wadhwa asked DoT to file a reply on Reliance Infocomm's petition within next 10 days. Mr Harish Salve, counsel for Reliance, said that the Government cannot impose a penalty unilaterally since there was no finding by any independent authority that the company has breached the terms and conditions of licence.

Jurisdiction dispute case: In a related issue, the Delhi High Court on Thursday decided to take up the matter of the exclusive jurisdiction of TDSAT to adjudicate in the dispute between Reliance Infocomm and Bharat Sanchar Nigam Ltd over the latter's threat to disconnect the private sector company for illegal routing of calls. A Bench comprising Mr Justice B.A. Khan and Mr Justice Anil Kumar, hearing Reliance Infocomm's appeal, decided to take into consideration the jurisdiction aspect after counsels for both parties agreed to this.

The Bench posted the hearing for January 27 on the appeal filed by Reliance Infocomm against the order of a single Bench rejecting its plea to restrain BSNL from disconnecting points of inter-connection for the private operator's failure to pay Rs 254 crore for routing international calls as local ones.