DoT to release bank guarantees of four telcos for Delhi circle

NEW DELHI: The telecom department has approved release of performance bank guarantees of Loop Telecom, Spice Communications, Videocon Telecom and Unitech Wireless for the Delhi circle, since these companies were not allocated spectrum, due to which they were not able to roll out network and services, and ultimately, their licenses were quashed under the 2012 Supreme Court judgment.

According to an internal telecom department note, since startup spectrum was not allocated to the licensees, performance bank guarantees would have to be returned after confirming that no dues were pending from other telecom department wings.

An executive from one of the telecom companies said that DoT was bound to give up guarantees for all circles where licences were cancelled following a Supreme Court judgment that annulled 122 permits belonging to nine companies.