Question : IRREGULARITIES IN PAYMENT OF REVENUE



(a) whether due to the absence of a provision for conducting the Audit by the Comptroller and Auditor General of India of the private mobile phone/telephone companies having revenue charging agreement with Government have resulted in the gross irregularities in the payment of revenues by these companies;

(b) if so, whether the Government have any plans for compulsory Audit of these companies by Comptroller and Auditor General;

(c) the percentage of revenue showing these companies have with the Government;

(d) whether the revenue receipt due to the sale of mobile phone instrument and operation fees have also been included in revenue showing; and

(e) the revenue paid by these companies n the year 2000-2001 and the outstanding revenue against these companies?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF COMMUNICATIONS (SHRI TAPAN SIKDAR)

(a) & (b): Yes, Sir. In the Telecom Regulatory Authority of India, (Maintenance of Books of Accounts by Service Providers) Rules, 2001, to be promulgated shortly, a provision has been made for enabling audit of the accounting records of all Telecom Operators by the Comptroller and Auditor General of India whenever he so decides, for verifying the correctness of revenue share credited to the Government accounts. Detailed provision for revenue reporting, and its verification has been made in the license agreements also. Till now, no case of irregularity has been noticed.

(c) The percentage of revenue share service-wise is furnished in Table I of the Annexure.

(d) Yes, Sir.

(e) The revenue share paid, service-wise, in the year 2000-2001 and the outstandings is furnished in Table II of the Annexure.

ANNEXURE

TABLE-I
Sl. No. Name of Service Percentage of Adjusted Gross Revenue Payable
1 Cellular Mobile Telephone Service 15% from 1.8.99 to 25.1.2001 and from 26.1.2001 onwards 12% for Category-A 10% for Category-B and 8% for Category-C Circles.
2 Basic Service 12%, 10% and 8% for Category-A, Category-B and Category-C Circles respectively.
3 Radio Paging (Cities) 5% 4 E-Mail 0.5% 5 VSAT 10%
6 Global Mobile Personal Communication 16% Service (GMPCs)
7 National Long Distance Service (NLD) 15% 8 Infrastructure Provider-II (IP-II) 15%
TABLE-II
Revenue share received on self certificate basis and the Outstanding Revenue in the year 2000-2001
(Rs. in Crores)
Sl. No. Name of Service Revenue received Outstanding Revenue Share
1. Basic 31.12 NIL

2. Cellular 511.68 NIL

3. Raio Paging 7.61 Note 1

4. E-Mail 0.09 NIL
Note 1: Nine Radio paging (City) licensees have not paid any amount towards Revenue Share from 4th year.