Trai will penalise mobile operators for call drops

NEW DELHI: Seeking more teeth to check call drops , telecom regulator Trai has asked the government to amend the law to allow it to impose a penalty of up to Rs 10 crore on mobile operators and a jail term of up to two years on their executives for any violation of the regulatory framework.

This follows a Supreme Court judgement quashing the Trai order that asked telecom operators to compensate subscribers for call drops. The regulator has suggested to the department of telecom amendments in various provisions in the Trai Act, 1997, with a view to be an "effective sector regulator".


"...if a service provider violates any direction, order or regulations made under this act or terms and conditions of licence, service provider to be liable for penalty which may extend to Rs 10 crore," Trai said in its communication to the department of telecom.

Trai had put in place a new set of rules mandating telecom operators to pay Re 1 for each dropped call, subject to a maximum Rs 3 per day, but the order was quashed by the apex court after companies appealed against it.

The regulator said that after a detailed examination of the judgement, it has concluded the need for seeking greater clarity in protecting interest of consumers, grievance redressal and enforcement of its regulations and orders.


The regulator has proposed amendment in Section 29 of the Trai Act 1997 which is about penalty for contravention of its direction and also sought introduction of three new sub-sections 29 A, 29 B and 29 C.