Abu Dhabi-based Etisalat has decided to shut down its operations in India following Supreme Court cancelling its telecom licence. The decision has been taken in order to protect the interests of all stakeholders and to avoid incurring further costs at this time of rapid change and continued uncertainty in the Indian telecommunications sector, it said.
As unanimously resolved by the Board this evening,Etisalat DB will be taking steps to reduce operating costs,including the suspension of its network and services,pursuant to the terms of its UAS licenses, Etisalat said. Etisalat had 1.67 million subscribers across 15 circles.
The decision of the Supreme Court of India to revoke all 122 UAS licenses issued by the Government of India in January 2008 affecting eight major operators,including several major international telecommunications companies,has removed EDBs ability to operate from June 2,2012,the company said.
Etisalat believes that this is a sensible and wholly appropriate action under the circumstances. Etisalat will make a decision on its future participation in the Indian market when there is clarity on the auction process and telecommunications policy and greater legal and regulatory certainty and stability. The factors behind the Supreme Court judgment are based on actions that took place long before Etisalat entered the Indian market and considered investing in Swan Telecom, it said.
Further information,including the official cessation date will be communicated shortly to EDBs customers through the appropriate channels, it said.
On February 9,Emirates Telecommunications Corp (Etisalat) had written off about $ 820 million worth value of its Indian operations by way of an impairment charge as an after effect of Supreme Court order.
Reliance Infratel moves TDSAT to recover Rs 1,200 cr from Etisalat DB
New Delhi: Anil Ambani group firm Reliance Infratel (RITL) Wednesday approached telecom tribunal TDSAT,seeking to recover Rs 1,200 crore from Etisalat DB which had taken its telecom infrastructure on lease.
The matter will come up for hearing Thursday before the Telecom Disputes Settlement and Appellate Tribunal bench,headed by its Chairman Justice S B Sinha. In 2009,Etisalat DB had entered into 10-year pact with RITL a subsidiary of RCom for leasing infrastructure to provide GSM services after getting 2G spectrum.
However,the ADAG group firm disconnected Etisalat in January following non-payment of dues. PTI