Vodafone Idea will try to pay AGR dues, continuation of business depends on SC order
Vodafone Idea, which was the worst hit by the Supreme Court order in the case related to adjusted gross revenue (AGR) dues on Friday, is in the “process of assessing the dues it will be able to pay to the government and will pay this in the next few days”, the company said in an exchange filing on Saturday.
“We wish to inform that post the hearing yesterday, the company has received letters from Department of Telecommunications directing immediate payment,” Vodafone Idea said on Saturday. Vodafone Idea said” The company is currently assessing the amount that it will be able to pay to DoT and it proposes to pay the amount so assessed in the next few days” .
Debt-floated telecom operator Vodafone Idea on Saturday said it is “assessing the amount that can be paid towards AGR dues, even as it flagged concerns over the continuation of its business”. The company said it is “in the process to pay adjusted gross revenue dues as per the Supreme Court order. However, the continuation of business in India will depend on favourable order on its modification plea filed before the apex court”.
Vodafone Idea said in a BSE filing “The Company is currently assessing the amount that it will be able to pay to DoT towards the dues calculated based on AGR (Adjusted Gross Revenue), as interpreted by the Hon’ble Supreme Court in its order dated 24 October 2019. The Company proposes to pay the amount so assessed in the next few days,” .
Vodafone Idea Ltd (VIL), whose liability is estimated to be around Rs 53,038 crore, including Rs 24,729 crore of spectrum dues and Rs 28,309 crore in licence fee, has already warned of shutdown if no relief is given.
The company said in the filing”As disclosed in the Company’s financial statements for quarter ending December 31, 2019, the Company’s ability to continue as a going concern is essentially dependent on a positive outcome of the application for modification of the Supplementary Order” .
The next date of hearing is scheduled for March 17, 2020.