DoT, however, said that Bharti owes a total of Rs 30.72 crore till January 31, 1999 alone. As per the DoT claim, Bharti owes Rs 28.74 as licence fee, plus an interest component of Rs 1.98 crore for the same period taking the amount to Rs 30.72 crore.

Bharti officials said the amount paid on Friday includes Rs 11.75 crore as full payment for outstanding licence fee dues uptill March 31, 1999. In addition, the company has also paid Rs 3 crore as licence fee for the first quarter of the current fiscal as per the minimum licence fee payable.

Company officials said that the payment had been made without prejudice to whatever had been decided in the new telecom policy."We have taken a long-term viewon the entire issue and took a decision to close the books from our side", said officials adding that the payment for the current quarter had been made in good faith.

Meanwhile, the Rajasthan and North-East cellular provider Hexacom also paid up Rs 10.70 crore in order to cover its 20 per cent outstanding amount of Rs 11.78. The company had earlier paid Rs 1.1 crore as part payment before the expiry of the deadline in February this year. Hexacom owes a total Rs 58.20 crore (including interest) as total licence fee uptill January 31, 1999 as per DoT estimates.

In another move, the DoT on Friday issued simultaneous show cause notices to Koshika and Aircel, both non-metro cellular providers, for termination of licence agreement due to non-compliance with the DoT directives. The department has already issued licence termination notices to JT Mobile, the cellular service provider for Punjab, Karnataka and Andhra Pradesh.

Bharti Enterprises, which provides cellular telephone service under the Airtel brandnamein Delhi avoided the securitisation route of furnishing bank guarantees covering the remaining 80 per cent dues. "There was no point in taking on an interest burden", said company officials.

Bharti had earlier paid up Rs 6.25 crore in response to the DoT's demand for 20 per cent payment. Sources said that the move signals Bharti's attempt to end the stalemate with the DoT, especially with Bharti paying up the dues for the first quarter of the current fiscal.