October 29, 2025

NEW DELHI: The Supreme Court has shaken things up in the telecom world! It has given the Union Cabinet the green signal to review the entire mess around recovering thousands of crores from Vodafone Idea. The big issues? Duplicate payments, double counting, interest, and penalty on interest. Experts say Vodafone Idea owes the government roughly Rs 80,000 crore, though the company stays tight-lipped on the exact figure. But wait, Vodafone Idea isn’t alone in this storm. Tata Tele and telecom giant Bharti Airtel, who also face heavy AGR dues, might get a slice of this government review pie. Any relief granted to Vodafone Idea could open the door for these telecom giants to push for a recalculated, lighter demand. The Supreme Court’s Monday ruling didn’t miss the elephant in the room— the government owns a hefty 49% stake in Vodafone Idea. Plus, the court kept in mind the massive number of Vodafone Idea’s subscribers—about 200 million people! The company is drowning under over Rs 2 lakh crore in debt and has been losing heavily every quarter. Vodafone Idea reacted quickly and positively. In an official statement to stock exchanges, it said, "In a positive development, the Supreme Court has today permitted the government to consider the grievances of Vodafone Idea on the issues relating to AGR. We look forward to working closely with the DoT to resolve this matter in the interests of our nearly 200 million subscribers. This is an impetus to the Digital India vision and ambition of our Prime Minister. The Order of the Supreme Court is awaited.” Sources reveal that the Department of Telecom (DoT) is now expected to craft a solution that could be a major lifeline for Vodafone Idea. The company has already raised over Rs 20,000 crore in the past 18 months, including Rs 18,000 crore through a follow-on public offer (FPO). Let’s not forget the government had earlier bailed them out by converting about Rs 37,000 crore of interest payments into a 49% equity stake. An official familiar with the matter explained, "Any solution will be worked out for the entire gamut of issues, including review of demand of duplicate payments, double counting, as well as the payment of interest, penalty, and interest on penalty. Also, by allowing it to treat this as a policy decision, the government gets empowered to take it up through the Union Cabinet rather than getting it done through the Parliament.” This move might just be the magic wand to ease the huge financial pressure on Vodafone Idea and possibly on other telecom companies caught in the same AGR web. Stay tuned as the saga unfolds, promising hope for millions of subscribers and the Digital India dream!

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Tags: Vodafone idea, Agr dues, Supreme court, Telecom sector, Recovery demand, Government review,