DoT Issues Show Cause Notice to Idea in Bulk Connections Renting Case

Advertisement
By Press Trust of India | Updated: 1 July 2014 20:59 IST

The Department of Telecom has issued a show cause notice to the country's third largest telecom operator, Idea Cellular, for the alleged violation of rules in a case related to renting out bulk connections to a third party in Delhi.

"Idea Cellular has been issued show cause notice for violating CMTS licence condition by renting out SIM to third party Limco Sales Corporation (LSC) in Delhi and passing on various rights to them which is not permitted," an official source said.

Advertisement

The show cause notice was issued to the company on June 19 asking it to send a reply within two weeks of receiving it.

Idea did not respond to queries seeking a comment on the matter.

Advertisement

The DoT has said Idea issued 3,640 postpaid connections for rental use to LSC in 2004 which was in violation of licence conditions.

Further, Idea was not generating bills to end-customers but the tariff was devised by Limco. This was in violation of telecom licence rules.

Advertisement

As per rules, telecom operators are required to carry out a thorough enquiry of subscribers to whom they are selling SIMs. However, the DoT found that verification of actual customers was never carried out by Idea, violating rules.

(Also Read: DoT Seeks Legal Opinion on TDSAT's 3G Intra-Circle Roaming Pact Ruling)

The DoT has alleged that Idea passed various important rights to LSC without having regular checks. These checks were essential for Idea to ensure that there was no threat to national security.

Advertisement

The DoT has earlier levied Rs. 50 crores penalty on Idea Cellular in the matter. The company had approached telecom tribunal TDSAT which asked the DoT to issue a show cause notice again.

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Advertisement

Related Stories

Popular Mobile Brands
  1. Nothing Phone 4a, Phone 4a Pro Goes on Sale in India: Price, Offers
  2. Motorola Edge 70 Fusion+ Launched With Three Rear Cameras, 5,200mAh Battery
  3. iQOO Z11 Design Revealed as Pre-Orders Open in China
  4. Tipster Claims Realme Will Launch These Two Smartphones in India Soon
  5. Microsoft's Copilot Health Can Share Insights About Your Health
  6. Google Rolls Out Biggest Update to Google Maps in a Decade
  7. Token2049 Dubai Crypto Conference Delayed to 2027 Over Security Concerns
  8. Lava Bold 2 5G With a 5,000mAh Battery Launched at This Price in India
  1. HSBC, Standard Chartered Said to Be First Recipients of Stablecoin Licences in Hong Kong
  2. MacBook Neo Teardown Suggests It May Be Apple’s Most Repairable Laptop in Several Years
  3. Vashikaranam OTT Release Date: When and Where to Watch This Supernatural Drama Online?
  4. Musk’s X to Alter Verification System in Europe, Commission Says
  5. Token2049 Crypto Conference Delays Dubai Summit to 2027 Over Security Concerns
  6. OpenAI Is Reportedly Developing a Code Hosting Platform to Take on Microsoft’s GitHub
  7. Realme 16T 5G, Realme P4R 5G India Launch Tipped Along With Colour Options, Storage Variants
  8. Donald Trump’s Memecoin Rises After Project Announces Exclusive Event for Top Token Holders
  9. iQOO Z11 Design Teased as Pre-Orders Open in China: Expected Features, Specifications
  10. Clair Obscur: Expedition 33 Leads BAFTA Games Awards 2026 Nominations With 12 Nods
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.