SC issues notice to Centre on Aircel Cellular's plea

The Supreme Court on Friday issued a notice to the Centre on Aircel Cellular's plea against the Madras High Court's decision upholding payment of One Time Spectrum Charges (OTSC) of Rs 3,273 crore to the Department of Telecommunications (DoT).

The apex court has asked the Centre not to take coercive action against Aircel for merger of Chennai and Tamil Nadu circles. The hearing in the matter will next take on September 19.

The top court had on August 30 agreed to Aircel's request for an early hearing of the case.

A Division Bench of the Madras High Court had earlier last month dismissed the petition of Aircel Cellular, upholding the rights of the DoT to claim share on adjusted gross revenue (AGR), including the non-telecom activities income.

The High Court also held that the levy of OTSC is justified and enforceable.

The petitioners -- Aircel, Aircel Cellular and Dishnet Wireless -- had also challenged the DoT's decision to put conditions for merger of licence of Aircel and Aircel Cellular.