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Govt cancels Aircel's LoI for ISD services

March 06, 2003 14:19 IST

Two more companies are out of the race for acquiring international long distance licence as government is understood to have cancelled the letters of intent issued to Aircel and Noida Software Technology Park.

The move follows expiry of LoIs of the two applicants recently, after which Department of Telecom had moved the cases for cancellation, sources in the department said.

The sources said the department cancelled the LoIs last week as it did not receive any plea for extension from the two companies, whose LoIs expired on January 21 and January 23.

Aircel and Noida Software Technology Park could not be contacted for comments.

DoT has already issued ILD licences to a number of players including Bharti and recently state-owned telecom corporation Bharat Sanchar Nigam Ltd received a go-ahead from the government for foraying into the arena.

BSNL's proposal for entering international long distance services space was cleared by DoT in January. However, the telecom corporation, which is India's largest basic service provider, can only start ILD services after the 'preferred carrier' status of Videsh Sanchar Nigam Ltd ceases next year.

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