Hometelecom News

    GNFC gets demand notice for telecom dues of Rs 15,000 crore

    GNFC gets demand notice for telecom dues of Rs 15,000 crore

    GNFC gets demand notice for telecom dues of Rs 15,000 crore
    Profile image

    By Ankit Gohel   IST (Published)

    Mini

    The amount is in connection with Very Small Aperture Terminal (VSAT) and Internet Service Provider (ISP) licenses held by the company in Gujarat circle for 2005-06 to 2018-19.

    Gujarat Narmada Valley Fertilizers & Chemicals Ltd (GNFC), a joint venture between the Gujarat government and the Gujarat State Fertilizers and Chemicals Ltd has received a demand notice from the Department of Telecommunications (DoT) directing it to deposit dues of Rs 15,019.97 crore before January 23, 2020.
    The amount is in connection with Very Small Aperture Terminal (VSAT) and Internet Service Provider (ISP) licenses held by the company in the Gujarat circle for 2005-06 to 2018-19.
    It is noteworthy that in October last year, the Supreme Court had rejected the telecom companies' definition of Adjusted Gross Revenue (AGR).
    The company is presently examining the demand notice and the Supreme Court judgement by seeking expert legal advice.
    "Based on the legal advice, the Company will decide the future course of actions in the subject matter,” it said in an exchange filing.
    The Supreme Court judgment exposed the incumbent telcos to potential demands by DOT of up to Rs 1.33 lakh crore.
    The government and the telecom companies were locked in a legal battle in the 14-year-old case over the definition of AGR, on the basis of which the telecom department calculated levies payable by companies.
    Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
    arrow down

      Most Read

      Market Movers

      View All
      CompanyPriceChng%Chng