Telecom tribunal TDSAT has directed the department of telecommunications (DoT) to dispose of US chipmaker Qualcomm’s application for broadband wireless access (BWA) licence and expeditiously allot the spectrum for providing BWA services.
The DoT has accepted San Diego-headquartered Qualcomm’s offer of paying dues of about Rs 410 crore of its Indian partner Tulip Telecom.
TDSAT directed 1985-founded Qualcomm to deposit Rs 410 crore as demanded by DoT from Tulip, within four weeks. DoT said the government is ready to give ISP licence to Qualcomm, but it would not pay interest if the amount is returned in case of any settlement with Tulip Telecom, based in this city. Following it, TDSAT asked the DoT to grant the license to Qualcomm within a week from the date of deposit of the dues.
Tulip, however, recently said in a regulatory filing to stock exchanges the offer to clear its dues was made by Qualcomm suo motu and it is not a party to the petition filed by the American firm and “has not, therefore, accepted any liabilities”.
Tulip, which is two decades old now, holds a 13 per cent stake in the consortium which had bid for BWA spectrum along with Qualcomm. TDSAT said allocation of spectrum to Qualcomm should be done in accordance with the terms of the notice inviting applications.
| TIMELINE |
| 2010 |
| June: Qualcomm emerges winner in 4 circles in BWA auction |
| August: Qualcomm’s four nominees apply to DoT |
| November: DoT asks for certain details |
| December: Qualcomm replies to DoT and informs about the nominations |
| 2011 |
| September: DoT rejects Qualcomm’s application * Qualcomm says willing to have one ISP licence |
| * October: Qualcomm moves TDSAT * DoT agrees to give one ISP licence on fulfillment of conditions |
| November: DoT raises demand of dues of about Rs 146 crore from Tulip |
| 2012 |
* DoT accepts Qualcomm’s offer to pay dues
* TDSAT asks DoT to issue licence to Qualcomm within a week of paying dues and expeditiously grant spectrum
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It also said that keeping in view the fact that DoT in this case has not adopted any adversorial approach,the application for the allocation of spectrum filed by the petitioner shall be considered and disposed off as expeditiously as possible.
In June 2010, Qualcomm had bagged BWA spectrum in 4 circles in the auction -- Delhi, Mumbai, Haryana and Kerala for about Rs 4,900 crore. Qualcomm had challenged the DoT notice for cancelling the allotment of BWA spectrum in TDSAT. DoT had rejected the Qualcomm’s application saying that it had made four nominees.