Vodafone’s Idea of ​​Deferring Payment of Adjusted Gross Revenue of Rs 8,837 Crore -By ASC

According to official data, telecommunication operators owe over Rs 1.65 lakh crore to the government.

New Delhi:

Debt -laden telecommunications operator Vodafone Idea has decided to defer payment of additional adjusted gross revenue of Rs 8,837 crore owed over four years.

The company in a late-night filing on June 22, said that the DoT on June 15, had increased the adjusted gross revenue demand (AGR) for an additional two financial years after 2016-17, which is not covered under the Supreme Court order on the law payable .

Vodafone Idea (VIL) in the filing said that its board of directors “has approved the implementation of the AGR-related deferral option within four years with immediate effect, in accordance with the DoT Letter. The total AGR-related fees as stated in the DoT Letter is Rs 8,837 crores subject to review due to disposal of various representations “.

The government calculates its share of revenue from telecommunication operators based on their AGR, which is considered to have been earned by them from the sale of services.

The VIL filing said that the DoT has offered the company a four-year moratorium on all AGR-related fees until FY 2018-19, which is not included in the Supreme Court order dated Sept. 1, 2022 that can be implemented within 15 days by June 30.

“The DoT Letter also gives the Company the option to convert the interest fee equity in advance for this AGR -related fee for which a period of 90 days has been provided from the date of the DoT Letter,” VIL said.

The company said the new request of Rs 8,837 crore was subject to review due to disposal of various representations, CAG, special audit and any other litigation decision and “final amount to be paid in six equal annual installments after the moratorium period starting March 31, 2026”.

The government has already approved Vodafone Idea’s proposal to convert about Rs 16,000 crore of AGR moratorium interest payments previously to around 33 per cent stake in the company.

According to official data, telecommunication operators owe over Rs 1.65 lakh crore to the government in adjusted gross revenue up to financial year 2018-19.

New calculations show AGR liabilities on Bharti Airtel are Rs 31,280 crore, Vodafone Idea Rs 59,236.63 crore, Reliance Jio Rs 631 crore, BSNL Rs 16,224 crore, MTNL Rs 5,009.1 crore up to the financial year

The company in a separate filing said that its board had approved an increase of Rs 436.21 crore from Vodafone Euro Pacific Securities Group companies through the issuance of preference shares at a unit price of Rs 10.2 each or warrants at the same price.


Welcome to India's Largest news platform, I assure you that we daily update on Global news which helps you to grow your knowledge.

Related Articles

Leave a Reply

Your email address will not be published.

Back to top button