Mobile cos face fine over user verification

Private and state-run mobile service providers were likely to be fined Rs 4,200 crore for failure to verify users in accordance with the data available on March 31, a government official said today.

The official said the companies failed to meet the norms laid down by the department of telecommunications on most counts, and if the department levied penalty according to the data produced by the operators, the fine could touch Rs 4,200 crore.

While an official of a mobile operator confirmed receipt of a notice from the government, he refused to divulge the quantum of the fine.

"Yes, we have received the notice. The DoT has asked us to explain why we should not be penalised," the official said.

Other companies did not confirm receipt of any such notice. The data available with NewsWire18 reveals startling facts about the lack of user verification by mobile service providers, and is contrary to claims made by the operators and top officials in the telecom department itself.

The data show operators could verify only 74 per cent users on an all-India basis. This, when samples numbering only 50,000 connections were sought to be verified. Of these, data for 44,560 connections were received, in which 36,900 connections matched with the data provided earlier.

According to the internal government data, India had 162.26 million mobile users on March 31.