Not satisfied with Reliance's reponse to its show cause notice, the department of telecommunications (DoT) sent a notice to the company imposing a penalty of Rs 150 crore for violation of licence conditions.
Reliance had passed international calls as local calls in three circles.
In its response, Reliance said that it had not violated any licence conditions. It has only introduced a new service, called 'home direct service', that is offered by a large number of operators abroad.
Nripendra Misra, secretary, DoT, confirmed that a notice has been sent. However, he didn't give any details.
Earlier, BSNL and MTNL had imposed a penalty of Rs 250 crore and Rs 309 crore, respectively, on the company for the same offence. There is a provision for a fine of Rs 50 crore per circle for violating licence conditions.
DoT officials found that Reliance had violated licence conditions in three circles. Thus, the total fine on Reliance comes to Rs 150 crore.
Though Reliance had submitted its reply to DoT's first show cause notice on October 20, the DoT, after internal examination of the reply and legal consultation, decided to impose the penalty.
Any encounter with the Income Tax Department is usually dealt with stress and panic. The notice from the Income Tax Department becomes nerve-racking because most of the people More
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