BPL Mobile applies for telecom licences

BPL Mobile's application for license has created a flutter in telecom circles. The question on everybody's mind is, are the Ruias trying to make a backdoor entry through them since the Ruias already partner Vodafone in India.

It has been learnt that there is an application for a new licence filed by a company called ShippingStock.com, which has applied for 21 telecom licenses and it is a wholly owned subsidiary of BPL Mobile.

The company in a press release said "BPL Mobile Communications Limited (BMCL) has submitted an application with the DoT seeking mobile licenses in 21 circles, i.e, all India licenses apart from the Mumbai license, where the company is currently operating."

Essar has acquired BPL Mobile from Rajiv Chandrashekhar and was supposed to sell it to Hutch. But the deal for BPL's Mumbai circle was not completed and now both Hutch and Essar are fighting a legal battle over it.

Meanwhile Arun Sarin came to India and bought out Hutch's Indian operations for around $17 billion. Essar, who were Hutch's Indian partners continue to remain in the new company and are now partnering Vodafone with around 33 per cent equity in the new company.

No wonder Essar's move to start a parallel telecom business is not going down too well with Vodafone.

Even though Vodafone officials are not willing to comment on the issue yet but senior Vodafone officials say in private that Vodafone is keeping very close watch on Essar's move and may move in if they feel that Essar's new move in any way violates the non -compete clause between the two.