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India Weighs One-Time Settlement for Vodafone Idea’s AGR Dues as Supreme Court Delays Hearing

The government, now a near‑49% shareholder, is exploring a waiver of interest and penalties to shape a sector‑wide acceptable fix.

Overview

  • The Supreme Court postponed hearing on Vodafone Idea’s challenge to an additional ₹9,450 crore AGR demand to October 13 after both sides sought time.
  • Bloomberg‑cited sources say officials are drafting a one‑time settlement that would waive interest and penalties and allow a concession on principal, with guardrails to avoid legal challenges from other operators.
  • Reports link the push to IndiaUK diplomacy ahead of Prime Minister Keir Starmer’s visit, with the move seen as a signal to investors and a step to preserve competition.
  • Vodafone Idea has filed a fresh plea seeking exemption from penalty and interest and a comprehensive reconciliation of dues up to FY2016‑17.
  • The company’s shares fell more than 4% in early trade as uncertainty persisted over liabilities that various estimates place near ₹2 trillion including penalties and interest.