Shares of Vodafone and Bharti Airtel were see-sawing on Monday after the two telecom majors moved the Supreme Court, challenging steep dues demanded by the government.
What Happened: Bharti Airtel and Vodafone Idea have approached the Supreme Court, requesting a hearing to challenge alleged calculation errors related to adjusted gross revenue (AGR) levies.
The core of the telecom companies’ argument revolves around disputing the calculation errors that have led to substantial AGR dues. Both Bharti Airtel and Vodafone Idea have stressed that the issue requires an immediate and comprehensive review by the Supreme Court.
Senior counsels Harish Salve and KK Venugopal will represent these telecom giants in their legal battle.
In response to their plea, the Supreme Court has agreed to examine the matter and has scheduled an open court hearing. However, a specific hearing date remains pending, leaving Bharti Airtel and Vodafone Idea hopeful for a favorable resolution to their ongoing legal dispute.
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Why It Matters: The outcome of this hearing carries significant implications for the telecom industry and the financial stability of the companies involved, especially Vodafone, which has been reeling under mounting debts and subscriber churn.
Price Action: Vodafone shares erased early losses to trade 0.46% higher at ₹11 in the afternoon session on Monday. Meanwhile, Airtel’s share price clawed back early losses as well, though it was still trading 0.37% lower at ₹922.65 amid broader market weakness.
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