Unitech shares frozen; Telenor presses for compensation

29 Mar 2012

India’s Income Tax department has frozen the shares owned by Unitech in its joint venture Uninor, reports the Economic Times. The tax office froze shares held through Simpson Wireless, Cestos Wireless and Acrous Wireless, Unitech’s investment vehicles through which it holds a 32.75% stake in Uninor due to alleged outstanding tax dues amounting to INR7.01 billion (USD134.31 million). Unitech acknowledged the development but disputed the tax department’s claims.

In other India news Norway’s Telenor, the majority stakeholder in Uninor, has announced that it has issued the Department of Telecommunications (DoT) a notice seeking damages for the cancellation of its licences in February. Telenor spokesman Glenn Mandelid said that the telco planned to ‘invoke the provisions of the CECA (Comprehensive Economic Cooperation Agreement) between India and Singapore.’ The DoT, however said it could not yet comment as it had not received the notice.

India, Department of Telecommunications (DoT), Telenor India