Idea Cellular asked to refund Rs 3 crore charged extra from users

idea-cellular-retail-shopTelecom Regulatory Authority of India (TRAI) has asked Idea Cellular to deposit Rs 2.97 crore charged from its subscribers during May 2005 to January 2007 in TCEPF (Telecom Consumers Education and Protection Fund) and report compliance with 15 days.

The new direction signed by TRAI Advisor (networks, spectrum and licensing) ST Abbas follows the finding of TRAI that Idea Cellular levied differential tariffs in four states of Maharashtra, West Bengal, Tamil Nadu and Uttar Pradesh for calls terminating in BSNL / MTNL network from service area to other service within the state.

TRAI said the differential and higher tariff was discriminatory and inconsistent with the amended license conditions notified by Department of Telecommunications (DoT) on May 20, 2005. TRAI has noted that the action of the Indian mobile operator was preventing the wireless consumers from getting full advantage of the Government decision to allow inter-service area connecting within the four states.

On January 30, 2015, the Supreme Court said that the access providers have the option to continue with the existing inter-connected routing of class of service areas but that cannot be a ground to discriminate between the subscribers of the same class.

TRAI earlier noted that several private GSM telecom operators operating in the four states had specified a higher tariff for calls terminating in the mobile networks of BSNL / MTNL from one service area to other service area vis-a-vis calls terminating in the networks of other private operators, falling within the geographical boundary of the same state.

TRAI also received complaints from subscribers regarding the differential higher tariffs being levied by private GSM operators for calls from one service area to another service area within the same state terminating in BSNL / MTNL network.

After examination of the differential tariff in the light of the comments of GSM operators and their representative association COAl, TRAI concluded that differential tariff levied by private GSM operators operating in the four states of Maharashtra, Tamil Nadu, West Bengal and UP was  discriminatory and inconsistent with the amended license conditions notified by DoT on 20th May 2005.

TRAI through its direction dated 27 February 2006, directed mobile service providers operating in the four states to immediately discontinue differential tariff and report compliance of the same to TRAI.

COAl and some of the TSPs challenged the direction by preferring an appeal before the TDSAT and kept charging differential tariff for calls to BSNL / MTNL in paired circles. But TDSAT vide its Order dated 22nd December, 2006 dismissed the appeal of COAI.