Jio row: Govt thinks
TRAI's fine on telcos is on weak ground
In October, the telecom regulator had recommended that a combined
penalty of Rs 3,050 crore be imposed on Airtel, Vodafone and Idea for
denying sufficient points of interconnect to new entrant Reliance Jio.
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The Department of Telecommunication believes that the telecom
regulator’s recommendation to impose a combined penalty of Rs 3,050
crore on Bharti Airtel
, Vodafone India and Idea Cellular
last October was based on weak grounds, Telecom Regulatory Authority of India had recommended that
DoT take action against the three carriers for violating licence norms
by denying sufficient points of interconnect to new entrant Reliance Jio Infocomm.
It said the carriers’ actions appeared to be aimed at stifling
competition and were against public interest.
The action came after the
regulator had issued showcause notices to three companies, seeking
explanations for excessive call drops witnessed for calls between Jio
and other networks.
But sources in DoT now say that Trai did not warn the telecom companies
of the high penalty while issuing the showcause notices. They said that
the ten days given for a response was not sufficient and that 90 days
should have been given to the carriers to provide adequate
interconnection points to Jio.
Trai has 15 days to respond, following which DoT will take a final call
on the situation.
Last month, Attorney General Mukul Rohatgi said he was in favour of the
penalty being imposed.
Idea Cellular had moved the Delhi High Court in December, challenging
Trai's decision. It claimed it had complied with and met the
requirements of Jio for points of interconnections.
Vodafone India had also approached the same court and asked it to quash
the recommendation, arguing that Trai’s move was against principles of
natural justice.
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