RCom & RTL told to return balance, security deposit to consumers

NEW DELHI: The telecom regulator has directed Reliance Communications (RCom) and its unit Reliance Telecom (RTL) to return unspent balance and security deposits to customers after it closed voice services in several circles.

The Telecom Regulatory Authority of India (Trai) on Friday said it has issued notices to the Anil Ambani companies, asking them to return the unused balance of the telcos’ prepaid customers and security deposit of the postpaid subscribers by February 15, and report compliance by March 31.

RCom had told Trai in October 2017 that it would close 2G services in several circles from December 1. In November, RCom and RTL informed the regulator that both companies would close their voice services in Bihar, Delhi, Himachal Pradesh, Jammu & Kashmir, Kolkata, Madhya Pradesh and Mumbai, and in the licensed service areas of Assam, Bihar, Himachal Pradesh, Kolkata, Madhya Pradesh, North East, Orissa, and West Bengal by RTL, with effect from December 29.


In the last week of December, Ambani announced that RCom’s optical fibre network, towers and spectrum would be sold to elder brother Mukesh Ambani-owned Reliance Jio Infocomm, to resolve its outstanding debt issue with lenders.

The deal size is estimated to be Rs 23,000-24,000 crore. Trai’s directive is aimed at benefiting RCom’s prepaid subscribers who after the discontinuation of RCom’s 2G GSM and CDMA voice services were unable to port out to other networks.