In a petition filed before the Telecom Disputes and Appellate Tribunal (TDSAT), the DoT stated that Tatas had bid for licence to provide basic telecom services in Maharashtra and Karnataka circles in 1995. The company, however, did not honour the commitment towards of payment of licence fees for Karnataka circle.
"The petitioner (TTML) did not sign the licence for Karnataka. It, however, requested many times for grant of extension for signing of the licence agreement and paying first year's license fee," the petition said.
In a notice to the stock exchanges, TTML said, "The company understands that DoT after a delay of almost 5 months, has filed an application with TDSAT requesting it to condone the delay and allow it to file a counter-claim of Rs 2015 crore". TDSAT is likely to hear on Monday the DoT application for condonation of delay and the company will oppose the delayed filing of this counter-claim.
The counter-claim merely updates the earlier counter-claim alleging loss of licence fee of Rs 303 crore, and re-calculates as Rs 1,711 crore the loss of the interest for the intervening period since the last hearings before TDSAT in 2003, to arrive at a sum of Rs 2015 crore.
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"Based on a legal opinion, TTML does not expect any liability arising out of this counter-claim, and therefore the sum claimed by the DoT would continue as in the past, to be shown as contingent liability in the notes of the accounts," it added.
Originally a letter of intent was issued to Hughes Ispat Ltd in 1997 for basic service in Maharashtra and Karnataka. This company was later acquired by Tata Teleservices.
This company paid the license fee and converted the Maharashtra LOI into license and started the service, which are being provided under TTML brand name.