\tReliance Communications (RCom) was dealt another blow in its attempts to settle a row with Ericsson over outstanding service charges, as a tribunal refused to release a tax refund owed to the operator.<\/p>\n
RCom, which has been\u00a0set a deadline of tomorrow [1] (19 March) by India’s Supreme Court to pay Ericsson a remaining INR4.5 billion ($65.6 million) owed, was intending to use the tax refund to help pay the dues.<\/p>\n
The Economic Times reported that a tribunal has, however, refused to direct State Bank of India (SBI) and other lenders to release INR2.6 billion in tax refunds, which is held in a trust fund.<\/p>\n
India’s Supreme Court found RCom and its chairman Anil Ambani guilty of contempt of court in February over its row with Ericsson, ordering payment must be made in four weeks.<\/p>\n
It said Ambani would face a three-month jail term if it did not comply.<\/p>\n
In its order, the National Company Law Appellate Tribunal (NCLAT) said \u201cno direction can be given to any party to the settlement to perform certain duties to ensure settlement between other parties\u201d.<\/p>\n
NCLAT said RCom could now request that the Supreme Court order SBI to release the funds.<\/p>\n
Troubled RCom commenced insolvency proceedings in January after failing to sell assets to Reliance Jio.<\/p>\n
The row with Ericsson has been ongoing since 2018, with the vendor seeking payment for a deal it struck with the Indian operator in 2014 to manage and operate its network.<\/p>\n[1] https:\/\/www.mobileworldlive.com\/featured-content\/home-banner\/rcom-chair-ambani-facing-jail-time-over-ericsson-row\/<\/p>\n","protected":false},"excerpt":{"rendered":"
Reliance Communications (RCom) was dealt another blow in its attempts to settle a row with …<\/p>\n
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