A group of about 300 Aircel and Dishnet employees have filed a contempt petition in the Supreme Court against the telecom department, Bharti Airtel and its unit Bharti Hexacom for their failure to ensure the return of bank guarantees worth Rs 453 crore.
In the petition filed on Wednesday, the employees asked the SC to “initiate contempt proceedings” against the Department of Telecommunications, Airtel and its units for committing a “contumacious act” by not returning the bank guarantees, as directed by the court in November.
The employees alleged that the companies and their principal officers connived and willfully disobeyed the court’s orders, according to the contempt petition seen by ET.
They appealed to the SC to direct Airtel and its unit to refund the bank guarantees with penal interest and purge the contempt petition by depositing the amount, failing which their properties and bank accounts should be attached “to the extent of the aforesaid amount.”
Bharti Airtel declined to comment since the matter was sub-judice.
Airtel had paid Rs 298 crore in cash and submitted bank guarantees worth Rs 453 crore to DoT on behalf of cash-stricken Aircel, adjusting the amount against its Rs 3,500 crore deal to buy Aircel’s spectrum. With the lapse of the bank guarantees, the apex court’s November order effectively means Airtel has to pay Rs 453 crore to Aircel.
DoT has until January 25 to return Rs 298 crore to Aircel.
The delay in returning the guarantees has added to the financial struggles of Aircel and its Dishnet Wireless unit and their employees.
The “willful disobedience” of the order dated November 28, 2018, has severe ramifications on the sustenance and livelihood of 3,000 employees, who are facing financial distress, according to the petition.
Aircel, being run by resolution professional Deloitte under the Insolvency and Bankruptcy Code, is trying to raise funds to restart operations, generate revenue and sell assets or businesses to repay at least part of the Rs 19,000 crore it owes to banks. Plus, it desperately needs cash to pay salaries and for daily operational expenses.
In December, Aircel and its unit Dishnet Wireless had complained to the apex court about the delay in returning the bank guarantees. The cases will be heard on Friday.
Source: Economic Times