Summary
The Court upheld TDSAT’s direction to refund Rs.104.34 crore retained after encashment of spectrum-payment bank guarantees beyond the admitted liability. Fresh guarantees had been furnished for subsequent periods, and neither alleged later defaults nor the objection to execution proceedings justified retention of the excess on these facts.
Issues
- Whether the Union could retain excess guarantee proceeds by invoking subsequent spectrum-payment defaults.
- Whether TDSAT’s refund direction in execution warranted interference.
Held
- The Union realised Rs.908.91 crore against an admitted May 2018 liability of Rs.774.25 crore, and the licensees furnished fresh guarantees for later periods. Retention of the excess was unreasonable in those circumstances. (¶¶ 10, 11)
- Alleged later shortfalls and the objection to issuing the direction in execution were insubstantial. TDSAT had acted circumspectly by directing refund of Rs.104.34 crore rather than the full Rs.134.66 crore claimed, preserving the parties’ rights regarding other charges. (¶¶ 7, 11)
Result
Union’s appeal dismissed without costs. TDSAT’s direction to return Rs.104.34 crore remained in force.