In a set back to Reliance Infocomm, the Supreme Court on Monday asked the company to pay Rs 40 crore to state owned BSNL towards the levy on Fixed Wireless Phone service.
The levy has been declared equivalent to limited mobile service by the telecom tribunal TDSAT.
BSNL had raised a demand of Rs 160 crore on Reliance Infocomm of which the private operator had already paid Rs 10 crore.
The direction to pay additional Rs 40 crore was given by the Division Bench of Justice Arijit Pasayat and Justice SH Kapadia.
Last month TDSAT had passed a judgement stating fixed wireless phone services offered by Reliance Infocomm equivalent to a limited mobile service and, therefore, liable to pay relevant charges like Access Deficit Charge.
The same was challenged by Reliance Infocomm in the Supreme Court.