industry

TTML faces claims worth Rs 615 cr in pending litigations


Tata Teleservices Maharashtra Limited (TTML) faces claims worth Rs 615.41 crore which are under litigation in various courts across the country, the company told the Bombay Stock Exchange in a filing Tuesday.

These include penalty of Rs 265.15 crore, the highest claim among 16 disclosed litigations, in a pending litigation with the Department of Telecommunications (DoT), Rs 156.10 crore for multiple pending litigations with state run Bharat Sanchar Nigam Limited (BSNL), and Rs 91.59 crore in multiple pending litigations against the GST (Goods and Services Tax) department.

“The Company has challenged the authority of DoT to issue penalty demand notices for Rs. 268.84 Cr before High Courts for alleged noncompliance with subscriber verification guidelines. The Company has obtained stay from High Courts against various demand notices and the matters are pending adjudication,” TTML said in the BSE filing.

It added that the expected financial implication in this case was Rs 265.15 crore. The penalty was challenged in the Bombay High Court and Delhi High Court.
The company is also involved in a litigation against Vodafone/Idea for payment of SMS termination charges. The case is pending in the Supreme Court and the financial implication as disclosed by TTML is Rs 45.05 crore. The litigation was initiated before the then separately operating telcos Vodafone India and Idea Cellular merged to form the current Vodafone Idea.TTML is also involved in pending litigations with BSNL for three separate cases in matters regarding port-in charges, access deficit charges, and transit charges, altogether amounting to Rs 91.59 crore.Against the GST department, TTML has pending litigations in the Bombay High Court regarding service Tax on sales of SIM cards (Rs 57.51 crore), in the GST Commissionerate regarding non-maintenance of proper CENVAT register, and CENVAT reversal on income from trading of handsets, telephone handsets, walky talky, scrap, and in the CESTAT demand raised by the department due difference noted in revenue reported in financial statement and ST-3 return.

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