119 errant licensees get DoT's penalty notice

By siliconindia   |   Monday, 27 December 2010, 20:02 IST
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New Delhi: The department of telecom (DoT) has given notices to 119 errant licensees. The notice demanded those telecom firms which got licences issued but have not rolled out services yet to submit penalties. The notices were issued last week and have given 15 days to the firms, who have not complied with the roll-out obligations. This decision comes at the heels of the Telecom Regulatory Authority of India's (TRAI) recommendation of the cancelling of 69 of the 130 licenses allotted to 2G services. The Telecom Minister, Kapil Sibal had said earlier that many of the companies were not eligible to receive the 2G licenses in the first place since they had not disclosed facts paramount to applying for spectrum. The DoT is free to terminate the licences of those who have not rolled out their services within 52 weeks. Many of these firms fall in this category. Though their licenses could be straightaway cancelled without the requirement of a show-cause notice being issued to them, the DoT thinks they first be asked to compensate the loss, if notional, they have caused to the exchequer, said a source.