Surf Telecom renews Bank Guarantees until 4th June

Multi Virtual Network Operator (MVNO) Surf Telecom has extended the validity of its financial bank guarantees for a period of 1 month, thereby firewalling the Department of Telecommunications (DoT) from encashing its financial bank guarantees.

Surf Telecom had initially moved TDSAT last month after there was a threat of encashing its financial bank guarantees. TDSAT in an urgent hearing had directed the MVNO to renew its financial bank guarantees for a period of one month and directed the Department of Telecommunications (DoT) to refrain from taking any coercive action.

Surf Telecom was, however, unable to arrange the Stamp Papers for renewal of FBGs as they were unable at Punjab National Bank (PNB) Mumbai Corporate branch due to lockdown. TDSAT had noted that PNB is expected to take necessary action if its Corporate Branch can’t do the same due to the unavailability of Stamp Papers at Mumbai.

Surf Telecom has now extended the validity of its Financial Bank Guarantees until 04th June. TDSAT stated that interim arrangement would continue until the next date.