Trai tells Sistema to settle licence issues by 18 Jan

Time to settle spectrum issues. Reuters

Besides, the company did not participate in the recently concluded spectrum auctions where licenses were awarded at new prices to all those companies which lost permits after a Supreme Court judgement in February cancelled 122 licenses in all, including Sistema’s. And as per SC judgement, all those telcos which lost licenses have to stop operations by 18 January.

When contacted, an SSTL spokesperson confirmed receipt of the Trai order but declined to make any further comments. On its part, Sistema has already filed a curative petition in SC stating that it has been “unfairly penalised in the February ruling of the Supreme Court” and that its licenses should be restored. So either matters get settled during Putin’s visit or the SC gives a ruling on Sistema’s curative petition before the 18 January deadline, otherwise Sistema may have to virtually shut shop in India.

What Sistema does now remains to be seen but there have been reports of the company being open to acquisitions in a bid to grow its business in India. Vsevolod Rozanov, President and CEO of SSTL recently told The Hindu Business Line that his company would be willing to participate in any fresh auctions for CDMA airwaves if the Government were to price them at 2008 levels.

The government has indicated that it will lower the price of CDMA airwaves but not but how much.

Tata Teleservices (TTSL), which lost three licenses after the SC judgement and like Sistema did not participate in spectrum auctions, has already said it will terminate services in J&K, North East and Assam by the 18 January deadline.

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