After the Supreme Court while hearing the AGR case said that self assessment of the AGR dues violates the court order, shares of Vodafone Idea tanked by 35% at Rs 3.40 on Wednesday.
The share price of Vodafone Idea opened at Rs 5.33 against the previous close of Rs 4.85 on Wednesday.
Earlier, Vodafone Idea has pegged its AGR dues at Es 21, 533 crore against Department of Telecommunication’s (DoT) Rs 58,000 crore.
The apex court also raised questions against Solicitor General on telecom firms self-assessing without the permission of the court stating that it was contempt of court.
It also refused to take up Centre’s plea for allowing telecos to pay AGR dues in 20 years, saying it will be listed after two weeks.
Earlier, the government had approached SC to seek approval for a formula that allows telecom firms to make annual installments of the AGR dues in 20 years or more.
Under the formula mooted by the government, telecom companies impacted by the October 24 verdict of the Supreme Court could be allowed to pay the DoT-assessed dues in annual instalments in over 20 years (or less if they so opt), “duly protecting the next present value of the said dues using a discount rate of eight per cent (based on one year marginal cost of lending rate of SBI which is currently 7.75 per cent)”.
