AGR case: Supreme Court turns to JIO on RCOM’s AGR dues
As per CNBC, SC said: “Person using the spectrum is liable to pay AGR dues. Why should Jio not furnish payment for AGR dues. It further asks Jio to why we should not catch hold of you to pay AGR dues. By sharing RCom spectrum you have gained revenue, this is revenue sharing. If Jio is using public assets like spectrum why should Jio not be liable to pay AGR dues.”
Today, the issue of deferred payment over 20 years did not come up. The Case is adjourned to Monday (3pm). By Monday, the government, JIO and RCOM’s insolvency professional have to produce necessary documents in the Court so that it can be decided who is liable for RCOM’s AGR dues. Note that RCOM’s total AGR dues as per DoT’s affidavit are Rs310bn.
JIO had stated (and DoT had confirmed this when we met DoT in February) that RCOM had provided indemnity to JIO against future liabilities. The spectrum sharing rules themselves do not mention anything about these liabilities.