SC allows govt to offer relief on all Vi dues

The Supreme Court on Monday modified its earlier order of October 27, allowing the Centre to take a call on the entire adjusted gross revenue (AGR) dues of Vodafone Idea (Vi) instead of just the additional demand of ₹9,450 crore, of which ₹5,606 crore pertains to 2016-17.

- BHAVINI MISHRA

The apex court stated that the government could go ahead with a comprehensive reassessment and reconciliation of Vi’s AGR dues up to the financial year 2016-17.

The modified order is a sign of relief for the financially stressed telco, in which the government holds around 49 per cent stake. Reacting to the order, the telco’s stock rose as much as 9.9 per cent during the day to hit an upper price band of ₹9.6 per share. The counter has risen 21 per cent this year, compared to a 9 per cent advance in the benchmark Nifty 50. Vi's market capitalisation rose to ₹1.04 trillion.

A detailed order copy, which will clarify whether the latest ruling will extend to other telecom companies as well, is expected to be uploaded by Tuesday.