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In August, Chandra Sekhar Pemmasani, the minister of state for communications, told CNBC-TV18 that the Centre is not looking at extending any more relief to the financially-stressed company.
Shares of Vodafone Idea Ltd. gained on Monday, October 27, as the Supreme Court is set to give its verdict on the telecom company's additional adjusted gross revenue (AGR) dues plea after it was deferred during its previous hearing on October 13.
On October 13, the top court deferred its hearing after the Centre sought more time. The Supreme Court had observed that it wanted the Centre to take a specific stand and deferred its hearing after Diwali celebrations, on October 27.
A Timeline of Recent Events
September 19: The Centre told the Supreme Court it does not oppose the telecom company's plea. However, a solution is required as it is an equity holder in the firm as well. The Supreme Court observed there had to be some finality to the proceedings and deferred the hearing to September 26.
September 26: India's Solicitor General Tushar Mehta, representing the Department of Telecom (DoT), on behalf of the Centre, sought more time from the court. The telecom company said it did not have objections to the same. The verdict was delayed to October 6.
October 6: The top court adjourned Vodafone Idea's plea to October 13 after the Centre sought more time again. The Vodafone Idea counsel said, ""We are not opposed to the grant of more time to the government, we want to celebrate Diwali this year."
October 13: The Centre sought more time during the previous hearing, post which, the top court then set the hearing date post Diwali on October 27.
October 27: The Supreme Court will hear the matter again today.
One-time settlement in the works: Report
Earlier this month, news agency Bloomberg reported, citing sources that the Centre is weighing on a resolution for Vodafone Idea dues to bolster its ties with the UK. The Centre is considering a one-time settlement, it reported. The resolution could be a waiter of interest and penalties, which would be followed by a concession on the principal, Bloomberg reported, adding that the Centre officials were drafting the framework.
The additional AGR dues plea
Vodafone Idea has petitioned regarding DoT's additional AGR demand of ₹9,450 crore, arguing that it is beyond the scope of the court's previous ruling on AGR liabilities.
Previously, DoT had filed an affidavit defending its stance, as per reports. It said the additional dues were a 'gap' from the previous accounting and not a reassessment. It maintained these liabilities emerged after the completion of financial accounts and were not covered under the Supreme Court's 2019 judgment.
A total of ₹2,774 crore of the ₹9,450 crore comprises the FY18-19 dues of the merged Vodafone Idea and Idea group entity and their consolidation in August 2019. A total of ₹5,675 crore is with regards to the pre-merger Vodafone Group.
Vodafone Idea has contested the calculation, claiming some amounts were duplicated. It has sought fresh reconciliation starting pre-2017.
Centre's view
In August, Chandra Sekhar Pemmasani, the minister of state for communications, told CNBC-TV18 that the Centre is not looking at extending any more relief to the financially-stressed company.
He referred to the 2021 support package, as per which around ₹53,000 crore of the company's dues were converted into equity, giving the Centre a 49% stake. ""Whatever we wanted to do has already been done. Vodafone is up to their management… they know how to manage and it's up to them to take it forward," Pemmasani said.
The Centre is the largest stakeholder in Vodafone Idea, but is not classified as a promoter.
In July, Union telecom minister Jyotiraditya Scindia told CNBC-TV8 that the Centre did not plan to convert Vodafone Idea into a public sector undertaking (PSU).
Vodafone Idea stock performance
Shares of Vodafone Idea were up 0.5% at ₹9.67. The stock has risen 17.5% in the last one month and is close to its FPO price of ₹11 per share.
First Published:
Oct 27, 2025 7:27 AM
IST
