No liability on co due to SC order on limited mobility: RCom

Written by Agencies | New Delhi, April 30: | Updated: Apr 30 2008, 17:17pm hrs
Faced with a liability to pay about Rs 400 crore levy to BSNL, Anil Ambani's Reliance Communications on Wednesday said it would not put any additional burden on the company as it has been taken care of in the previous years.

"The case pertains to the period 2002-03, prior to the Corporate reorganisation of Reliance Communications and has been fully provided for in the previous fiscals. There is no additional liability on the company following the judgement", a RCOM Spokesperson said.

The Supreme Court on Wednesday held Tata Teleservices 'Walky' and Reliance Communication's (formerly Infocom) 'Unlimited Cordless' as limited mobile phones, hence they are liable to pay Access Deficit Charge (ADC) to BSNL for interconnection.

A bench, while dismissing their petitions, has upheld telecom tribunal TDSAT's order of September 2005 that held these services are not fixed lines telephones, but limited mobile.

The apex court had also earlier reserved both the companies plea challenging the TDSAT order which held that its fixed wireless telephone was equivalent to mobile service and thus Reliance was liable to pay ADC of over Rs 400 crore.

Thus, Tata would have to pay about Rs 300 crore as levy to BSNL on account of ADC. RCom scrip was trading up 1.4 per cent at Rs 582.96 at 1230 hrs.