The department of telecommunications (DoT) will not be able to send a final show-cause notice to Loop Telecom for termination of licences in 21 circles and Unitech Wireless for Mumbai. According to a recent communication, the legal advisor to DoT has said the question of issuing the show-cause notice to Loop for further termination did not arise as it is no longer a licensee, and the licences do not subsist. This also holds true for Unitech. However, the advisor has said DoT could claim damages for the violations during the operational period of the licences.
DoT had sought the legal opinion after the Supreme Court had questioned issuance of show cause notice to Loop telecom for discontinuing its operations in 21 service areas. DoT has, reportedly, said that a penalty of Rs 1,100 crore would be imposed for the alleged violation of licence norms.
