DoT’s test checks on variations in telcos AGR dues standard audit procedure: COAI

NEW DELHI: Terming ‘test checks’ proposed by the government on telcos’ AGR arithmetic as standard audit procedure, Industry body COAI has said the DoT needs to ensure consistency among its different circles on calculation of dues to minimise any differences. Cellular Operators’ Association of India (COAI) also cautioned that any decision to encash bank guarantees will be “disastrous” for the telecom industry, which only has three private players.

“Any move to encash bank guarantees will precipitate an already precarious situation,” COAI Director General, Rajan Mathews told .

Mathews termed the ‘test checks’ being proposed by the telecom department to examine deviation in calculation of dues by companies as a “standard audit procedure”.