Thursday, Dec 09, 2021 | Last Update : 02:24 PM IST

  Business   In Other News  20 Dec 2017  5 telcos reported less revenue: CAG

5 telcos reported less revenue: CAG

THE ASIAN AGE.
Published : Dec 20, 2017, 1:22 am IST
Updated : Dec 20, 2017, 1:22 am IST

The operators audited are Tata Teleservices, Telenor, Videocon Telecom, Qaudrant (a Videocon group firm) and Jio.

The New Telecom Policy (NTP-99), which came into effect in April 1999, introduced the revenue sharing model in the telecom sector.
 The New Telecom Policy (NTP-99), which came into effect in April 1999, introduced the revenue sharing model in the telecom sector.

New Delhi: The Comptroller and Auditor General of India (CAG) said on Tuesday that five telecom firms including Tata Teleservices, Telenor and Videocon  among others have understated revenues by over Rs 14,800 crore, resulting in a short fall of nearly Rs 2,578 crore to the exchequer.

The CAG said that the government was paid Rs 1,015.17 crore less in licence fee, Rs 511.53 crore in spectrum usage charge, and Rs 1,052.13 crore as interest applicable on delay in payment.

 

The operators audited are Tata Teleservices, Telenor, Videocon Telecom, Qaudrant (a Videocon group firm) and Jio.

“To sum up the verification of records of five PSPs (private sector players) by audit indicated total understatement of AGR (adjusted gross revenue) of Rs 14,813.97 crore for the period up to 2014-15 and consequent short payment of revenue share on the government of India to the tune of Rs 1,526 crore. The interest due on the short paid revenue share, for the period up to March 2016 was Rs 1,052.13 crore,” said CAG in a report tabled in Parliament.

The New Telecom Policy (NTP-99), which came into effect in April 1999, introduced the revenue sharing model in the telecom sector.

 

Under this system, telecom licencees were required to share a percentage of their Adjusted Gross Revenue (AGR) with the government as annual License Fee (LF).

In addition,  mobile telephone operators were also required to pay spectrum usage charges (SUC) for the use of radio frequency spectrum allotted to them.

The CAG said the government collection from Tata Teleservices is short of Rs 1,893.6 crore, Telenor - Rs 603.75 crore, Videocon - Rs 48.08 crore, Quadrant - Rs 26.62 crore and Jio - Rs 6.78 crore for licence fee, SUC and applicable interest charges.

The CAG findings are based on the audit of Tata Teleservices and Tata Teleservices (Maharashtra) Ltd from 2010-11 to 2014-15; Quadrant Televentures (2006-07 to 2014-15); Videocon Telecom (2009-10 to 2014-15); Telenor (2009-10 to 2014-15) and Jio Infocomm from 2012-13 to 2014-15.

 

Tags: cag, tata teleservices, telenor