Telcos understated revenue of Rs 61K cr, says CAG report

Tribune News Service

New Delhi, July 21

Country’s highest audit body, the Comptroller and Auditor General (CAG) today said six private telecom operators, including Airtel, Vodafone and Idea, understated revenues to the extent of Rs 61,064.5 crore during 2010-11 and 2014-15, leading to a “short payment” of Rs 7,697.6 crore to the government.

In its latest report tabled in Parliament today, the CAG said its audit indicated “total understatement of adjusted gross revenue (AGR) of Rs 61,064.56 crore” by the six operators. For five operators —Airtel, Vodafone, Idea, Reliance Communications and Aircel — the period of audit is between 2010-11 and 2014-15. On the other hand, for Sistema Shyam, the window in reference is 2006-07 to 2014-15.

This is not the first time that the CAG has pointed out that telecom operators have been understating their revenues.

Even in its report last year, the CAG had said there was a loss of Rs 12,489 crore to the exchequer due to understatement of revenues by six telecom operators which had forced the government to order a special audit of telecom companies for three years.

Loss to exchequer is Rs 7,697 crore 

• As per CAG report, six telecom operators, including Airtel, Vodafone and Idea, understated revenues tothe extent of Rs 61,064.5 crore during 2010-11 and 2014-15, leading to a short payment of Rs 7,697.6 crore to the government