Vodafone India has blocked incoming calls from Loop Mobile customers to its network in Mumbai for non-payment of interconnection charges.
As per the Telecom Regulatory Authority of India, a mobile operator on whose network a call originates has to pay charges to the telecom company on whose network the call terminates.
The current termination charge is 10 paisa a minute.
"Incoming calls from Loop mobile are temporarily restricted, due to non-payment of interconnect dues by Loop Mobile," Vodafone India spokesperson said.
Vodafone said these payments were long overdue and it was forced to do this (restriction of calls).
When contacted a Loop Mobile spokesperson said that the company is trying to resolve the matter.
Vodafone is Mumbai's largest operator by subscribers currently.
Loop Mobile is in the process of transferring its assets and customers to Bharti Airtel, under a strategic agreement announced in February.
Although Airtel did not share the amount of the deal but industry sources estimated it to be worth Rs 700 crore (Rs 7 billion).
Loop has over 3 million subscribers in Mumbai.