AGR hearing: Vodafone tells SC it’s barely afloat
The Supreme Court on Thursday during the adjusted gross revenue (AGR) hearing was told that the Vodafone Idea was barely managing remain afloat as the top court questioned the company’s worth in assets.
“We are barely afloat, and only way is to earn and pay,” said Vodafone.
A bench comprising Justices Arun Mishra, S. Abdul Nazeer and M.R. Shah queried Vodafone in connection with provisions in its books for contingent liabilities in the absence of profits.
Senior advocate Mukul Rohatgi said all documents can be brought before the top court to present the company’s financials.
The bench told Vodafone that the question for the company is to show its bonafide.
Justice Mishra said that the court wants all parties to come forward and offer a reasonable plan for payment of the AGR dues.
Justice Shah asked Vodafone to deposit some amount. “I have already paid Rs 7,000 crore,” said Rohatgi on behalf of Vodafone. Justice Shah replied: “You (Vodafone) must deposit some money; the government needs money for public welfare during this pandemic.”
Rohatgi claimed Vodafone Idea did not make any profit in the last five yrs.
The bench asked him to furnish proof of this effect.
“Tell us one thing in a yes or a no. Can you pay Rs 15,000 crore upfront or not? You must have contingency funds,” the bench asked him.
Rohatgi said Vodafone’s balance sheetswill be placed before the court.