Tatas and Idea Cellular have also been served notices by the the Department of Telecom (DoT) which has given 21 days time to respond to the notices.
The department has raised a demand of Rs 1,637 crore from these telecom firms, sources said, adding that after completion of the given period the operators would be given an opportunity for personal hearing by telecom minister Kapil Sibal. Some of the operators confirmed receipt of the show cause notice.
However, it could not be confirmed that how much demand has been raised from these operators individually.
According to sources the demand ranges between Rs 115 crore to Rs 560 crore.
Telecom regulator Trai in 2009 had asked the Department of Telecom (DoT) to conduct a special audit of financial accounts of these five telecom companies for the 2006-08 period observing that operators were under-reporting their revenues to avoid payment of licence fee to the government through revenue share.
The move was to check operators' scope to arbitrage, which is shifting revenue from higher licence fee to the lower side. The UASL (basic and mobile) telephony has a licence fee of 6-10% where as NLD, ILD, ISP and Internet Protocol has 6%.
Article Source: http://timesofindia.indiatimes.com/business/india-business/Notices-to-5-telcos-for-understating-revenues/articleshow/11707117.cms
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