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The division of Telecom (DoT) may just withdraw a penalty of about Rs. 1,000 cores on Loop Telecom for allegedly violating 2G spectrum license norms by using discontinuing operations in 21 circles.

Loop Telecom was one of the firms whose licenses had been quashed by using the Supreme court docket on February 2, 2012. Following the order, the corporate discontinued services from June 1 that yr and most popular to not bid in the fresh spectrum auction.

In line with sources, a senior recommend has opined that DoT cannot levy the penalty as it would be contempt of court.

The DoT had issued a convey-cause notice to Loop Telecom in November 2012 for discontinuing its operations and said it might impose a Rs. 1,000 cores penalty for allegedly violating license norms.

the company approached the SC, which mentioned that DoT was no longer entitled to levy damages and penalty on the corporate for the period after June 1, 2012.

The DoT sought legal opinion on whether to searching for a overview of the court order or withdraw the penalty.

in step with sources, senior suggest P Rae was once of the opinion that DoT cannot levy damages on the company.

“I’m of the opinion that department can’t levy damages and penalty for the length subsequent to June 1, 2012, for the licensee’s failure to hold trade…it would be contempt of courtroom to take a stand opposite to the court’s order,” Rae is believed to have stated