Vodafone Idea has paid Rs 3,500 crore in direction of the dues. Bharti Airtel has paid Rs 18,004 crore in direction of the dues to the DoT. Vodafone Idea is trying to pay Rs 3,500 crore extra. Bharti Airtel and Vodafone Idea have confronted plenty of obstacles previously few months. Of course, a few of them have come from the competitors reigning within the business, however largely the reason for wrestle for the 2 of the personal telecom operators has been due to the AGR dues.
As per the most recent report from ET Telecom, the analysts have discovered the rationale why the estimates charted out by the telecom corporations, and the Department of Telecommunications (DoT) differ from one another. While Bharti Airtel and Vodafone Idea, pegged the dues to be paid at considerably decrease, the DoT estimates had been via the roof.
According to the analysts, the stark distinction between the 2 estimates comes due to the IUC value calculation and likewise duplication. Reasons for Contrasting Estimates for AGR DuesAs per the DoT, the full dues that are to be paid by Vodafone Idea have been estimated to be Rs 53,000 crore, whereas, for Bharti Airtel, these dues have been estimated to be Rs 37,700 crore counting the dues to be paid by Telenor as properly. As against this, the Bharti Airtel’s estimate of the dues to be paid stands at Rs 13,004 crore and that of Vodafone Idea stands at Rs 21,533 crore.
According to the analysts, the 2 telecom corporations, Vodafone Idea and Bharti Airtel had been compelled to take a conservative stance, and this occurred as a result of the 2 corporations didn’t get ample time to calculate their dues payable. Kotak Institutional Equities remarked about this, “path forward could involve an independent audit by the CAG (Comptroller and Auditor General) and/or one of the Big 4 auditing firms, assuming the Supreme Court sees the telcos’ efforts (part/ad-hoc payments) as bona fide and allows an (AGR) dues reconciliation exercise.” Bharti Airtel Pays All of AGR DuesAs per ICICI Securities, any accrual deduction was disallowed by the DoT for understanding AGR thus growing the quantity. Other components which led to the upper figures by the DoT was the unavailability of the right IUC payout documentation.
Some income traces may also have discovered duplication within the estimates, thereby inflicting this distinction within the two estimates.Until now, Bharti Airtel has paid Rs 18,004 crore in direction of the pending dues including Rs 5,000 crore on high as ad-hoc cost. Whereas, Vodafone Idea has paid round Rs 3,500 crore and is looking out to rearrange one other Rs 3,500 crore to pay to the DoT.