COAI hits back at Trai for 'cartelisation' comment in the SC

Telecom players & Trai have been engaged in a legal battle over regulator's order for compensation for call drops

The Cellular Operators’ Association of India on Friday hit back at the Telecom Regulatory Authority of India over its comments on cartelisation in the industry in the Supreme Court.

“The COAI and several Indian telecom service providers are deeply dismayed by the misplaced, baseless and rather misleading remarks made against them in the Supreme Court by the Trai in respect of business practices and ethics, insinuating that the industry has indulged in cartelisation,” the COAI said in a statement.

On Thursday, Attorney-General Mukul Rohatgi had said, "We have a cartel of four-five big companies and they force consumers to sign on documents at the time of getting connections, which say the operator will not be responsible for call drops.” Rohatgi also said telecom players were not upgrading infrastructure to ensure disruption-free calling and justified the Trai's decision to impose a penalty.

Telecom companies and the Trai have been engaged in a legal battle over the regulator’s order for compensation over dropped calls. The companies had challenged the order in the High Court, which upheld the penalty, and they appealed against it in the Supreme Court.

“We request and urge the authorities to refrain from the use of such harsh and unsubstantiated language at any forum against telecom service providers, which is not only uncalled for but also projects them in a poor light," the COAI statement said.

“This is more so especially when one takes into account the very substantial contributions made to the Indian socio-economic landscape through generation of multiple tax revenues, employment generation as well in acting as a major growth engine and driver to the Internet economy,” it added.