The Telecom Disputes Settlement and Appellate Tribunal has decided to charge commission on the petitions, claims and suits for recovery of money or an outstanding amount.
It is going to affect all the telecom operators, along with the broadcasters, which would have to now pay more money to the tribunal.
As per the Amendment no 2 of 2006, passed by the tribunal last week, under the powers conferred by the TRAI Act, 1997, it has fixed its percentage on the total claimed amount as commission for disposing the petitions regarding claims and suits for money including suits for damages.
Now TDSAT would charge 1.5 per cent as the commission of the total amount or sum claimed upto Rs 2 crore (Rs 20 million). For above Rs 2 crore, it would take 1 per cent upto Rs 5 crore (Rs 50 million) and .5 per cent for the amount above than Rs 5 crore.
It would also be apply on a broadcaster or telecom operator, going to knock the tribunal for recovering their money from other fellow operator or broadcaster following the terms and condition of the agreement in between them.
Earlier the TDSAT was charging Rs 5,000 only for such suits.
However, the amendment also maintained that for the petition seeking directions, injunction, permanent injunction and enforcement of TRAI's regulations, it would charge Rs 5,000 only.
Meanwhile, the tribunal has also fixed Rs 500,0000 (Rs 5 million) as the maximum amount on its commission.
Sources in the tribunal said that there was nothing wrong in this. All civil courts in the country are already charging percentage ranging between 1 per cent to 2.5 per cent.
Prior to this, telecom operators and broadcasters were getting their money-recovered worth of crores in just Rs 5,000. In Western countries, any such tribunal charges upto 10 per cent, the source said.
The tribunal has just tried to follow the formula applied by the civil courts of Delhi, which normally charges 1.5 per cent of the total recovered amount.
However, as per the amendment the tribunal can exempt any applicant on filing a petition for it. This would be under the sole discretion of the Bench, which would decide after examining that whether the applicant deserve for it or not.
It can refund the amount if the dispute between the parties is settled without adjudication by the tribunal following the same application procedure.
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