The Supreme Court has taken a big decision regarding the AGR dues of telecom company Vodafone Idea. Let us tell you that SC said that the government can reconsider this matter. There is no reason why the government should not reconsider. This matter is to policy, the government can take whatever decision it wants. Let us tell you that after this decision of the Supreme Court, there has been a huge rise in the shares of Vodafone Idea and the stock has increased by more than 8 and a half percent and is trading at Rs 10.44. On the other hand, experts say that if the penalty and interest are waived, then the company will get a relief of Rs 50,000 crore. In such a situation the share can cross Rs 15.
What is AGR dues?
Actually, Adjusted Gross Revenue is the figure of AGR income that is used to calculate the license fee and spectrum charges payable by telecom companies to the government. The hearing on this petition has been adjourned several times in the past on the request of Solicitor General Tushar Mehta, appearing for the telecom company and the Centre. Earlier, the Central Government had said that efforts are on to find a solution with the company. Tushar Mehta said the government holds about 50 per cent equity in Vodafone Idea, making it a direct stakeholder in the survival of the company. Vodafone Idea Ltd had filed a fresh petition against the Department of Telecommunications’ demand of Rs 5,606 crore for 2016-17.
