In a major relief for telecom operator Vodafone Idea Ltd, the Supreme Court on Monday clarified that the government is free to consider relief on both additional and reassessed adjusted gross revenue (AGR) dues.
The earlier written order of the Supreme Court had indicated that Vodafone Idea had sought relief only against additional AGR dues worth ₹9,500 crore.
On Monday, October 27, the Supreme Court permitted the government to reconsider Vodafone Idea’s AGR dues. However, in its written judgment issued on Thursday (30 October 2025), the court clarified that the order applies only to Vodafone Idea, given the special circumstances of the case. It also emphasized that the plea covers only the additional AGR demand of ₹9,450 crore.
Vodafone Idea had earlier challenged the Department of Telecommunications’ (DoT) demand for an additional ₹9,450 crore in AGR dues, seeking a waiver on interest and penalties. In an amended petition, the telco also sought a waiver of penalties and interest on AGR dues, arguing that some components of the dues were still under dispute.
The operator, which owes around ₹83,400 crore in total AGR dues, faces annual payments of about ₹18,000 crore beginning March 2026. Including interest and penalties, its total liabilities to the government are estimated at nearly ₹2 lakh crore.
A bench led by Chief Justice B.R. Gavai and Justice K. Vinod Chandran observed that the issue is essentially a policy matter for the Union government. The court noted that if the government, in the larger public interest, wishes to reconsider the issue, it is free to do so.
The court further pointed out that the government holds a 49% stake in Vodafone Idea and that the company serves nearly 200 million subscribers, making the case a matter of significant public interest.
Meanwhile, a senior official from the Department of Telecommunications said the government is seeking legal advice on the Supreme Court’s order before taking further action.
“We will take legal advice on the court order and then decide on possible steps regarding relief for Vodafone Idea. A legal review is done for all cases,” the official said.
Following the court’s order, Vodafone Idea’s shares closed at ₹9.58, up 9.74% for the day. The stock touched an intraday high of ₹9.85.
