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TDSAT directs Sun to resume signals to Ortel within 24 hours of cleared payment

MUMBAI: The Telecom Disputes Settlement and Appellate Tribunal (TDSAT) has directed Sun Distribution Services to resume supply of its signals to multi-system operator (MSO) Ortel Communications within 24 hours of receiving outstanding dues.

Disposing of Ortel’s petition, the tribunal also directed the parties to execute the interconnect agreement within one week from that date.

Ortel will have to pay Rs 33,89,910 plus TDS of Rs 422,976.

As per Sun Distribution Services, the MSO owes Rs 43,32,057 in outstanding dues while Ortel contends that dues are Rs 33,89,910. The difference between the admitted amount and the dues claimed by the respondent is thus Rs 942,148.

In addition to the payments, Ortel will also have to give to Sun the certificate showing the deduction of taxes.

The tribunal made it clear that the payment of Rs 422,976 by Ortel would have to go by its decision on the TRAI’s tariff order relating to inflationary increase.

rtel counsel Samir Sagar Vashistha explained that this included the sum of Rs 518,925 as the amount of taxes deducted at source and that the actual dispute was only with respect to the sum of Rs 422,976.

Sun Distribution counsel AS Dugal stated that the sum of Rs 4,222,976 represents the inflationary increase of 15 per cent allowed by the TRAI’s tariff order.

In this connection, it needs to be noted that the tariff order is currently under challenge before the tribunal.

Vashistha stated that the petitioner was willing to pay the sum of Rs 33,89,910 and to provide the respondent with a certificate showing deduction of taxes amounting to Rs 518,925.

In addition, he would also pay Rs 422,976 subject to the tribunal’s decision on the tariff order in question.

Dugal stated that the offer made by the petitioner was fair and the respondent was willing to accept it.

Vashistha gave the assurance that the petitioner would confine its operation within the area of Vishakhapatnam.