DoT seeks legal opinion on extension of MTNL licence

The Department of Telecommunications (DoT) is seeking legal opinion regarding extension of MTNL’s licence for two years. In the interim, services will continue without any disruption.

The 20-year licence of state-run MTNL is expiring on April 6 and if the company wants to renew it, it has to pay a renewal charge of around Rs 11,000 crore. On its part, MTNL has held that the expiry of the licence does not fall in April 2019 but in January 2021.

Sources told FE that although MTNL has taken legal opinion from Vikramjit Banerjee, additional solicitor general, government of India, who has supported its stand that the licence expires in 2021 and not in 2019, DoT will also ask for opinion from Attorney General KK Venugopal to rule out any further litigation on the issue.