HW English
Anil Ambani; reliance

Anil Ambani’s Reliance Communication asks for more time to repay Rs. 550 crore to Ericsson

New Delhi | The Anil Ambani owned Reliance Communications has asked his unsecured creditor Swedish telecom major Ericsson an additional 60 day period to repay its Rs. 550 crores.

Responding to the media reports, Reliance Communications (RCom)  clarified in a stock exchange filing that it has submitted an application for approval of the spectrum sale with the Department of Telecommunications (DoT) on August 7, 2018. The company stated, “Ericsson India Private Limited (‘Ericsson’), an unsecured creditor of RCom, is understood to have filed a contempt petition on October 1, 2018, in the Supreme Court in relation to the settlement amount of Rs. 550 crore to be paid by RCom. This filing is unwarranted.”

The company also clarified that it has already filed an application on September 28 in the Supreme Court seeking a 60-day extension for making payment to Ericsson and matter is scheduled to be heard on October 4.  “The extension has been sought purely due to the fact that, as approved by 38 secured lenders, and as per RCom’s undertaking, Ericsson is to be paid from the sales proceeds of spectrum being traded by RCom, and such sale could not be completed as yet owing to factors beyond the control of RCom,” it added.

The stock exchange filling further that ” DoT unjustly sought securitization of alleged demands (which are wholly disputed) for Spectrum Usage Charges amounting to Rs. 2,900 crore. This demand of DoT has been challenged by RCom before the Telecom Disputes Settlement and Appellate Tribunal (TDSAT).”

The issued statement also added that “RCom, as duty bound, shall duly abide by such directions and orders as may be passed by the Supreme Court upon the matter being heard on October 4, 2018.”

Related posts

550 women register for Sabarimala Darshan through virtual booking

News Desk

‘Rs 11,000 crore benefit to people from fixing drug prices’: Minister


High-level team of doctors in Kerala to probe Nipah virus deaths