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    Voda Idea likely to pay Rs 1,000 cr in AGR dues today: Source

    Synopsis

    So far, DoT estimates show Vodafone Idea has to pay Rs 56,709.49 crore to the government, of which it paid Rs 2500 crore on Monday with assurance that it will pay another Rs 1,000 crore by this Friday. Vodafone Idea though estimates its AGR dues to be around Rs 23,000 crore, of which Rs 7,000 crore is the principle amount, and the rest interest and penalties.

    Voda-Idea-reutersReuters
    Vodafone Idea, hit maximum by the AGR turmoil that has gripped the sector, is desperately trying to avoid bankruptcy.
    Mumbai: Vodafone Idea is expected to transfer Rs 1000 crore as AGR dues to the government on Thursday since the stipulated date, Friday, will fall on the festival of Shivratri, a bank holiday.

    So far, DoT estimates show Vodafone Idea has to pay Rs 56,709.49 crore to the government, of which it paid Rs 2500 crore on Monday with assurance that it will pay another Rs 1,000 crore by this Friday. Vodafone Idea though estimates its AGR dues to be around Rs 23,000 crore, of which Rs 7,000 crore is the principle amount, and the rest interest and penalties.

    The Vodafone Idea stock was up 4.8% at Rs4.39 on the BSE Thursday in mid day trade.

    Rival Bharti Airtel has paid Rs 10,000 crore and has informed the government that it will pay the rest by March 17, depending on the its self assessment calcuilations.

    Vodafone Idea, hit maximum by the AGR turmoil that has gripped the sector, is desperately trying to avoid bankruptcy.

    The Supreme Court ruled on October 24 that AGR includes non-core items, leaving 15 telcos facing dues of more than Rs 1.64 lakh crore. Only three of these 15 — Bharti Airtel, Reliance Jio Infocomm and Vodafone Idea— are currently providing telecom services. Vodafone India and Idea Cellular merged in August 2018 to form Vodafone Idea.

    The ruling and subsequent government demands have put pressure on cash-strapped Vodafone Idea. The government, is now trying take steps to provide some relief to ensure that the sector will continue to have three private sector companies.

    A Vodafone Idea collapse would have an impact across sectors and the wider economy, causing job losses and possibly tainting the global perception of India as an investment decision.


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