Delhi HC halts execution of DoT order on Bharti Airtel's 3G pacts

NEW DELHI: Delhi High Court on Monday temporarily halted the execution of a government order asking Bharti Airtel to immediately stop 3G mobile services in some zones as it continues to hear the case, two lawyers on the case said, in a reprieve to the country's top telecommunications carrier.

Bharti Airtel had challenged in court a telecommunications ministry order asking it to stop providing 3G services in seven zones where it does not have its own airwaves and is offering the services through pacts with other carriers.

The telecommunications ministry had said such pacts were illegal and ordered Bharti to pay a penalty of Rs 350 crore.

The Delhi High Court also said Bharti would not immediately need to pay the penalty, according to the lawyers. It will hear the case next on May 8, one of the lawyers said.

Bharti Airtel, Vodafone and Idea won 3G airwaves in 13, nine and 11 circles, respectively, in the 2010 auctions, and between them have a national footprint. They subsequently entered into 'intra-circle roaming' pacts with each other and rode on the airwaves of their partners in circles where they did not hold spectrum themselves. This enabled them to offer high-speed data services on a pan-India basis.

Operators said they had entered into these roaming deals with the 'full knowledge and blessings of the DoT', which they said had allowed such pacts before the auction of 3G airwaves. But the telecom department and DoT and sector regulator Trai say these pacts as 'illegal', a position that received the backing of the law ministry.