DoT Slapped Noticed to Firms for Delayed Roll-out of 2G Services

The department of telecom (DoT) slapped notices to telecom firms which got 2G licences issued but have not rolled out services yet in the week ending 24 December 2010. DoT sought penalties running into hundreds of crores. 119 licences were issued since 2006, however as a result of non-rolling out of services for a long time the exchequer suffered a huge revenue loss and these companies. The telecommunication companies grabbed the spectrum but did not start their services and are hence liable under law to compensate the government. DoT has given 15 days to the firms which have not complied with the roll-out obligations.

DoT issued notices to 85 licensees after Telecom Regulatory Authority of India recommended cancellation of 69 of the 130 licences given for 2G phone services. Notices were issued by DoT to Loop Telecom, 15 to Etisalat DB, 11 to Sistema-Shyam, 10 to Videocon, eight to Uninor, and five to Aircel.