Vi AGR Row: CEO Sparks Debate on SC Ruling
- The Supreme Court has again shut the door on attempts by Vodafone Idea and other telecom companies to gain relief from adjusted gross revenue (AGR) related dues.
- The court emphasized that its 2019 ruling on AGR,which includes all forms of income for calculating license fees and spectrum-usage charges,was final.
- Despite the ruling, Vodafone Idea CEO Akshaya Moondra said during a June 2 earnings call that the company is still in talks with the government to find a...
Supreme Court’s decisive rejection of Vodafone Idea’s plea for relief on adjusted gross revenue (primary_keyword) dues signals a critical juncture for the telecom giant. The court dismissed petitions from Vodafone Idea, Bharti airtel, and the Tata Group, effectively closing the door on waivers for AGR interest and penalties. This reaffirmed the 2019 ruling and the finality of the settled matter. While the Supreme Court‘s stance is clear, CEO Akshaya Moondra’s comments sparked debate about government intervention regarding the secondary_keyword.Legal experts have criticized this approach, yet Vodafone Idea continues to seek solutions. News Directory 3 provides up-to-date coverage of this complex issue. Discover what’s next for Vodafone Idea amid these mounting financial pressures and legal hurdles.
Supreme Court Rejects Vodafone Idea’s Plea for AGR Dues Relief
Updated June 05, 2025
The Supreme Court has again shut the door on attempts by Vodafone Idea and other telecom companies to gain relief from adjusted gross revenue (AGR) related dues. A bench of Justices J.B. Pardiwala and R. Mahadevan dismissed petitions from Vodafone Idea,Bharti Airtel,and the Tata Group on May 19,2025,seeking waivers on AGR interest and penalties.
The court emphasized that its 2019 ruling on AGR,which includes all forms of income for calculating license fees and spectrum-usage charges,was final. The court stated that revisiting the settled matter would set a bad precedent.
Despite the ruling, Vodafone Idea CEO Akshaya Moondra said during a June 2 earnings call that the company is still in talks with the government to find a solution regarding the AGR matter. This statement has drawn criticism from legal experts, who argue it misrepresents the court’s firm stance.
Gaurav Gupta, an advocate involved in multiple civil cases, said the Supreme Court’s order reaffirmed the finality of AGR dues. He stressed that the court’s decision precludes any future government intervention to alter the amount or finality of these dues. The court had previously labeled Vodafone Idea’s petition as “misconceived.”
Ashish Dixit, another advocate, questioned the rationale behind filing the petition, given the Supreme Court had already adjudicated the issue. He noted that the executive branch cannot override the law established by the Supreme Court.
Mohit Paul, an advocate-on-Record at the Supreme Court, highlighted that the AGR dispute, concerning license fees and spectrum-usage charges, was settled in October 2019. The Supreme Court ruled that AGR includes all forms of income, requiring operators to pay approximately Rs1.56 trillion, including interest and penalties.
The telecom companies’ attempt to seek a waiver of roughly Rs80,000 crore through Article 32 writs was firmly rejected by the Supreme Court, which reiterated its belief that the petitions were “misconceived.”
During the hearing, Vodafone Idea’s representative, Mukul Rohatgi, acknowledged that all legal avenues had been exhausted. He requested the court to allow the government to assess the company’s representation.
“If the government wants to help you, we are not coming in the way; who is stopping them from having a look at the representation?”
Though, Rohatgi informed the court that the government had declined to consider the request, citing the binding nature of the AGR ruling. The Solicitor General confirmed that the executive was restricted from intervening due to prior Supreme Court decisions.
The court denied Rohatgi’s plea to withdraw the petition and insert a statement allowing petitioners to approach the government, stating, “Everything has its own limits.”
What’s next
Vodafone Idea faces continued financial pressure as it navigates its adjusted gross revenue (AGR) obligations. The company’s engagement with the government may continue, but the Supreme Court’s firm stance limits potential avenues for relief regarding AGR interest and penalties.