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Supreme Court Rejects AGR Relief Pleas by Vodafone Idea, Airtel; Says It’s a Government Matter

On May 19, the Supreme Court dismissed pleas filed by telecom companies Vodafone Idea, Bharti Airtel, and Bharti Hexacom seeking relief on their adjusted gross revenue (AGR) dues. The court called the petitions “misconceived” and said the matter falls under the government’s jurisdiction, not the judiciary’s.

Vodafone Idea had requested a waiver of over Rs 45,000 crore in AGR-related dues, stating that the relief was essential for its survival. Bharti Airtel and its subsidiary Bharti Hexacom also sought relief on Rs 34,745 crore, including interest and penalties.

However, the Supreme Court refused to interfere and advised the telecom companies to seek support through other legal or administrative routes—not through the top court. The court clearly told Vodafone Idea “not to make us a party” to the issue.

The Department of Telecommunications (DoT) had already turned down Vodafone Idea’s request in a letter dated April 29. The DoT stated that no further concessions could be granted due to the Supreme Court’s 2020 ruling, which gave telcos a 10-year timeline to clear their dues.

Vodafone Idea has so far paid around Rs 50,000 crore and previously received partial support when the government converted Rs 36,950 crore of spectrum-related dues into equity. This move raised the government’s stake in the company to 49%.

The court added that the government is free to help Vodafone Idea if it wants to, but the judiciary cannot compel it.With this ruling, the Supreme Court has made it clear that the AGR issue is settled and any future relief must come from the government, not the courts.

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