BSNL, MTNL dragged to TDSAT

In another clash with government-owned BSNL and MTNL, Anil Ambani-controlled Reliance Communications today filed three petitions relating to rentals charged for points of interconnection and recovery suits.

Acting on the petition, TDSAT Chairman Justice Arun Kumar has asked MTNL and BSNL to reply within five weeks.

The first petition against BSNL is related to the rental it charged from telecom companies for providing points of interconnect (POIs). Reliance alleged that despite TDSAT's direction, BSNL levied the charges with retrospective effect.

BSNL was providing interconnection on copper cable. Later, it shifted to optical fibre cable (active cable) and demanded more rental.

This was challenged by the telecom companies in the Telecom Disputes Settlement and Appellate Tribunal, which, in its order dated March 3, 2006, said conversion from passive links to active links without telcos' approval was not justified.

The other two petitions against MTNL and BSNL are recovery suits, in which Reliance urged the tribunal to direct the PSUs to return the extra amount it had paid to them as interconnection charges.

Reliance has contended that under clause 166 of the TRAI Act, which defines the conditions for the license for National Long Distance Service, BSNL and MTNL had charged it more than the required amount and prayed the tribunal to refund it.

The tribunal has listed the matter on November 7, for next hearing and also directed Reliance to file a rejoinder.