Indus Towers has officially communicated to the Telecom Regulatory Authority of India (Trai) its consideration of limiting services to Vodafone Idea (Vi) due to accumulating outstanding payments. The company has also expressed strong disapproval of Vi’s consistent failure to meet its payment commitments.
As of September 30, Vi’s outstanding debt to Indus Towers amounts to Rs 7,864.5 crore. In a letter addressed to Trai, Prachur Sah, the Managing Director of Indus Towers, emphasized that Vi’s recurring defaults and actions have placed Indus in a financially precarious situation. Should Vi continue to breach its payment obligations, Indus would not only explore all available legal remedies but could also restrict its services to Vi to mitigate potential losses.
Sah further highlighted that if other Indus Towers customers were to seek waivers or delay payments, it could imperil the stability of India’s entire telecom infrastructure.
The potential suspension of services by Indus Towers could compound Vi’s existing challenges. Trai’s monthly subscription data indicates that Vi experienced a loss of 1.32 million subscribers in July, following a loss of 1.29 million subscribers in June. Vi currently serves approximately 228 million customers, and any disruption in services could have adverse consequences for them.
