Regulators

Sun to resume distribution of Ortel signals in Vishakapatnam; subject to payment clearance

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NEW DELHI: Sun Distribution Services Pvt. Ltd has been directed to resume the supply of its signals to Ortel Communications Ltd and will also execute the interconnect agreement within one week from that date.

Telecom Disputes Settlement and Arbitration Tribunal (TDSAT) chairman Justice Aftab Alam and member Kuldip Singh also held that Ortel will pay to Sun the payment of Rs 33,89,910 plus Rs 4,22,976 within 24 hours.

In addition to the payments, Ortel will also give to Sun the certificate showing the deduction of taxes.

However, TDSAT made it clear that the payment of Rs 4,22,976 will be subject to the Tribunal?s decision on the Telecom Regulatory Authority of India?s tariff order relating to inflationary increase, which is currently pending hearing before TDSAT.

Based on a table presented to the Tribunal by Ortel, the admitted dues are Rs 33,89,910 and the difference between the admitted amount and the dues claimed by the respondent is thus Rs 9,42,148.

Ortel?s counsel Samir Sagar Vashistha, who presented the table, explained that this included the sum of Rs 5,18,925 as the amount of taxes deducted at source and the actual dispute is only with respect to the sum of Rs 4,22,976. 

He assured that Ortel will confine its operation within the area of Vishakhapatnam.

Sun counsel A.S. Dugal said the sum of Rs 4,222,976 represented the inflationary increase of 15 per cent allowed by the TRAI?s tariff order.

Vashistha stated that Ortel was willing to pay the sum of Rs 33,89,910 and also give to the respondent the certificate showing deduction of taxes amounting to Rs 5,18,925. In addition, it will also pay Rs 4,22,976 subject to the Tribunal?s decision on the tariff order in question. 

Dugal said the offer was quite fair and the respondent was willing to accept it.

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