SC directs Bharti Airtel not to add 3G customers in 7 circles
Bharti Airtel can't add new 3G customers in the seven circles in which it doesn't have spectrum till the 3G intra-circle roaming case is not disposed off, the Supreme Court ruled on Thursday.
The seven circles in which Airtel doesn't have 3G spectrum are: Haryana, Gujarat, Uttar Pradesh East, Maharashtra, Madhya Pradesh, Kerala and Kolkata. The company has been offering 3G services in these circles using the networks of other telecommunication firms.
DoT has directed Airtel to immediately stop offering 3G intra-circle roaming services in circles where they it doesn't own 3G spectrum and pay a fine of Rs 350 crore for violating licence norms.
The company challenged the DoT order in the high court where a single bench judge stayed the DoT order till 8th of May.
However, rival telecommunications provider Reliance Communications countered the high court's stay order in the Supreme Court, arguing that Airtel's 3G roaming deal with other companies was hurting its business.
The apex court yesterday directed Airtel to stop acquiring new 3G customers in the concerned seven circles. However, the company was allowed to continue providing 3G services to existing customers.
After the Supreme Court's ruling, stock in Bharti Airtel slipped 2.3 per cent; while stock in Reliance Communications gained 2.7 per cent.
The next hearing of the case is slated for 9th of May.