Trai frowns at telcos threatening to snap services despite sufficient pre-paid balance

Image
Press Trust of India New Delhi
Last Updated : Nov 28 2018 | 4:41 PM IST

Trai has directed operators not to immediately disconnect services of customers with "sufficient" pre-paid balance as it took strong note of telcos asking such users to go in for mandatory monthly recharge plan.

The telecom regulator came down heavily on the operators after it received complaints from subscribers that they are being sent text messages to "mandatorily" recharge their prepaid accounts in order to continue to avail services.

These subscribers rued that the messages are being sent despite their pre-paid accounts having "sufficient balance".

"Tariff and plans are under forbearance and we don't generally intervene. But if there is sufficient money in the account and despite that people are being told that the services will be disconnected, it is not correct," Trai Chairman RS Sharma told reporters here.

The directive in this regard has gone out to operators on Tuesday, he added.

The Telecom Regulatory Authority of India (Trai) met operators earlier this week and is currently examining the issue in its entirety.

In the meantime, it has asked operators to "duly inform subscribers in a clear and transparent manner the date on which the current validity of existing plan would expire and the manner in which the subscriber can opt for the available plans including minimum recharge plan using subscriber's available pre-paid account balance or otherwise".

It also asked operators to provide all this information to subscribers through SMS immediately and "not later than 72 hours".

Trai in its directive to operators said, "till such time, services of such customers who have balance in pre-paid accounts equal to minimum recharge amount, should not be discontinued".

The telecom sector has been bruised by falling tariffs, eroding profitability, and mounting debt in the face of stiff competition triggered by disruptive offerings of Reliance Jio, owned by Mukesh Ambani.

Two of the largest operators -- Bharti Airtel and Vodafone Idea -- are looking to boost their revenue realisation per user and have announced minimum monthly recharge plans starting from Rs 35.

Disclaimer: No Business Standard Journalist was involved in creation of this content

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Nov 28 2018 | 4:41 PM IST

Next Story