SC issues notice to 11 telecom, Centre

The Supreme Court took cognizance of a public interest litigation (PIL) to cancel 2G licences that were issued in 2008 and served notices to the Department of Telecommunications (DoT), the TRAI and 11 telecom companies. The companies, TRAI and the Union Government have to respond to the apex court before 1st February, which is when the court will next hear the matter. The PIL was filed by lawyer Prashant Bhushan on behalf of the Centre for Public Interest Litigation (CPIL) and others. The petitioners demanded that licences of those companies who failed to comply with their roll out obligations within set time frames by the licences be cancelled. The bench comprising Justices G.S Singhvi and Ashok Kumar Ganguly demanded that TRAI be made party to the proceedings. The court took up the matter based on a letter dated 18th November 2010 from TRAI to DoT Secretary, which asked the Government to cancel the licences of companies who had failed to comply with their licence obligations. DoT has already collected Rs 930mn as fines and penalty for delaying roll out obligations. These fines are consequence of show cause notices sent by DoT early December 2010 to the companies. However, the DoT is yet to cancel any licences. On issue of cancellations, the companies have time till mid-February to respond.