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Tag Archives: penalty

Idea to pay 3 crore for overcharging subscribers.

26 Saturday Aug 2017

Posted by VAN NAMBOODIRI in BSNL

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BSNL, DEA, penalty

The TRAI has ordered telecom company Idea to pay Rs. 2,97, 90, 173 crore as penalty for overcharging subscribers for the calls ending to BSNL and MTNL during the period May 2005 to January 2007.  The amount is to be deposited in Telecom Consumers Education and Protection Fund.

Many such irregularities have been done by the private companies to discourage the subscribers from calling to BSNL and MTNL in the past. At least now, Idea has been penalised, although the amount is much less than what is required.

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Prime Minister warns tax evaders

26 Sunday Jun 2016

Posted by VAN NAMBOODIRI in General

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penalty, Prime Minister, Tax Evaders

NEW DELHI: “Prime Minister Narendra Modi on Sunday used his ‘ Mann ki Baat ‘ radio programme to deliver a stern message – don’t evade taxes and come clean by September 30. Modi also used the platform to mount an attack on the Congress to mark the 41st anniversary of the declaration of Emergency.
“In our big cities, when we see some of the houses that are worth crores, there seems to be some discord. Some people make well over 50 lakh rupees a year, but don’t declare it. They do this to avoid paying their taxes. I am calling on all of them to come forward and declare their true incomes and pay their taxes by September 30,” said PM Modi in the radio address.
“There will be no leniency after that,” he added.” (Courtesy: Times of India)

Declaration is well taken! But what about action? Both NDA and UPA governments have declared umpteen times about catching the tax evaders; But nothing has been done. It is only the salaried people who are paying the taxes correctly. Most of the rich, business barons, corporates evade the taxes either by crook or cheating. They are never punished, because they are close to the ruling parties and donate liberally to their election funds.

Common people are not interested in EMPTY PROMISES!

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TRAI firm on penalty for call drops

04 Monday Jan 2016

Posted by VAN NAMBOODIRI in Telecom

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Call drops, penalty, TRAI

The TRAI has firmly told the telecom companies to pay compensation for call drops to the customers from 1st January 2016. The compensation for one call drop will be Rs. 1/- and the maximum for a day is Rs.3/- for one customer.

Telecom companies are avoiding payment stating that there is case pending in the court, on which decision is expected on 6th January.

The direction  of the TRAI has resulted in less call drops.

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No Penalty for Call Drops till 6th January 2016

23 Wednesday Dec 2015

Posted by VAN NAMBOODIRI in Telecom

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Call drops, penalty, TRAI

New Delhi, Dec 22 Telecom Regulatory Authority ofIndia (TRAI) today told the Delhi High Court that no coercivesteps would be taken against telecom companies till the nextdate of hearing on January 6 for not complying with the calldrop compensation norms.
Additional Solicitor General (ASG) P S Narasimha made thesubmission before a bench of Chief Justice G Rohini andJustice Jayant Nath which listed the pleas of cellularoperators challenging the call drop regulations for furtherhearing on January 6.
The ASG, however, made it clear that the regulations wouldcome into force from January 1 as was decided.
The operators have sought quashing of TRAI’s October 16ruling mandating service providers to pay subscribers Re 1 percall drop experienced on their network, subject to a cap ofthree a day.
Besides Cellular Operators Association of India (COAI),the Association of Unified Telecom Service Providers of India(AUSPI) and 21 telecom operators, including Vodafone, BhartiAirtel and Reliance have said that the decision has been takenknowing fully well that laws of physics make it impossible to provide a hundred per cent call drop-free network.(PTI)

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Many companies, including telecom, don’t implement CSR

14 Monday Dec 2015

Posted by VAN NAMBOODIRI in General

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CSR, penalty

As per government orders, companies are to spend 2% of their profit towards Corporate Social responsibility(CSR). But most of the companies, except very few, have not implemented this order. In the telecom sector also, the situation is not different. Idea Cellular has not spent even a single paise towards CSR. Bharti Airtel has spent only 21% of what is required.

The recommendations of the Parliamentary Standing Committee that these defaulting companies should be penalised is timely. While thousands of crores of rupees are profited by these companies, they are reluctant even to spend 2% of that for the welfare of the people. They should be severely punished for their anti-social attitude and violation of law.

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Reliance Jio penalised Re. one crore by Rajkot Municipal Corporation

08 Sunday Mar 2015

Posted by VAN NAMBOODIRI in Telecom

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penalty, Reliance Jio

RAJKOT: Rajkot Municipal Corporation (RMC) has slapped a Rs one-crore ad hoc penalty on Reliance Jio Infocomm for misusing its permission for laying cables in the city.

RMC Commissioner Vijay Nehra issued a notice to the company and asked it to pay a penalty of Rs 1 crore before March 15 failing which legal action including filing of a police complaint against the company would be initiated, Nehra said in an official release issued by the civic body. (News Report)

The same type of cheating is done by many private telecom companies to maximise profit. Officials are not acting against them due to the money/muscle power of the corporates.

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TDSAT cancels fines on Airtel and Vodafone

11 Thursday Dec 2014

Posted by VAN NAMBOODIRI in BSNL News, Telecom

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Airtel, DOT, penalty, Vodafone

In the new dispensation it is always the corporates which get the upper hand. The latest is the decision of the TDSAT setting aside the fines put on Airtel and Vodafone for illegally providing roaming in circles where they did not have licence. Airtel was fined Rs. 650  crore and Vodafone Rs. 100 crore by DOT for causing huge loss to the government and BSNL.

Setting aside the DOT decision, the TDSAT allowed costs at Rs.25,000 for each of the petitioners ie, Airel and Vodafone.

Is it because the government and BSNL did not argue the case effectively or some compromise? Any way it is a sad affair, the complainant becoming he victims before the law.

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TDSAT allows roaming by sharing of spectrum

29 Tuesday Apr 2014

Posted by VAN NAMBOODIRI in Uncategorized

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3/4G, penalty, Spectrum, TDSAT

The Telecom Dispute Settlement Appellate tribunal (TDSAT) has allowed 3G roaming services to the private operators, even though they do not have spectrum licence for those circles. The TDSAT has also cancelled the penalty imposed on these private companies who were illegally providing roaming services in areas where they have no spectrum licence, by sharing agreements with other private companies who have spectrum in those circles.

We feel that this decision of the TDSAT is to be challenged since this is in violation of the licence conditions. Further this decision will give undue favour to the private companies comparing with BSNL, which was compelled to pay for all the circles in full.

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CAG will restart auditing of priavte telecom companies – a most welcome step

19 Saturday Apr 2014

Posted by VAN NAMBOODIRI in PSU, Telecom

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CAG audit, penalty, Revenue Share, Telecom companies

The decision of the Supreme Court allowing CAG audit of private companies is most welcome. It will expose the role of the private telecom companies which have been cheating the government of its revenue share by manipulating its accounts by showing less revenue to avoid payment of revenue share to Government. The earlier audit of a few companies have shown the cheating and penalties were imposed on them.This process was stopped after the private telcos went to the court and obtained stay. Now the stay is removed and CAG has been allowed to audit.

A detailed report on the matter published in Times of India is reproduced below:

NEW DELHI: Special teams of the Comptroller and Auditor General of India could soon be fanning out across the country to begin audit of private telecom companies in the wake of Supreme Court’s landmark order of Thursday.

While upholding CAG’s right to audit private telecom companies on Thursday, the apex court said : “When nation’s wealth, like spectrum, is being dealt with either by the Union, state or its instrumentalities or even the private parties, like service providers, they are accountable to the people and to Parliament.”

According to sources, the first results of CAG’s audit could be available within a year, since the audit body had been ready since 2010 to audit private telecom companies that give a part of their revenue to the Centre.

The audit could open up not only significant revenue for the government, but also raise questions over accounting and reporting standards of some private telecom firms. CAG had started auditing telecoms a few years ago, but the exercise got stalled when the private companies moved court.

The Delhi High Court allowed the audit in an order in January this year, but the telcos moved apex court challenging the order.

Private auditors appointed by the department of telecommunications had audited five telecom companies in the financial years 2006-07 and 2007-08. The five leading operators together understated their revenues by Rs 10,268 crore during these two years, the audit found. Based on the findings of the audit in mid-2012, DoT had slapped penalties totaling Rs 1,594 crore on the five companies.

Under the contract between DoT and telecom companies, the private entities pay 6%-10% of annual revenue as licence fee and 2%-6% as spectrum usage charges. Under-reporting of revenues would have significant adverse impact on the revenues accrued to the government.

It was at the request of telecom companies that the then NDA government, headed by Atal Bihari Vajpayee, allowed telecoms to migrate from a fixed licence fee regime to a revenue sharing one in 1999. This was provided through the New Telecom Policy of 1999.

However, when the government discovered variation in the gross revenue of certain operators as reported to the DoT, the Securities and Exchange Board of India (Sebi) and the Telecom Regulatory Authority of India (Trai), it ordered special CAG audit into books of their accounts.

Starting October 2009, the CAG began efforts to audit the private telecom companies. And, for the past three years it has also been asking DoT to nominate CAG as its auditor under the agreement between the government and the companies. However, the DoT has been reluctant about nominating CAG, while private telecom firms went to court.

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National Commission imposes penalty for Pesky calls.

03 Monday Feb 2014

Posted by VAN NAMBOODIRI in Telecom

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penalty, Pesky Calls, Telecom

The National Commission has upheld the decision of the State Commission imposing penalty for pesky calls on the customers.

The National Commission upheld the State Commission’s order imposing a penalty of Rs 25 lakh each on Airtel and COAI. Similarly, penalty of Rs 12.5 lakh each on ICICI Bank and American Express Bank was also upheld. This penalty would go to the state consumer welfare fund.

This is a good decision. The customers are unnecessarily troubled and harassed by these unsolicited calls and messages.

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