S Tel

S Tel Private Limited
Company typeLimited
IndustryTelecommunications
FoundedJanuary 2008
DefunctFebruary 2012
FateLicense cancelled by the Supreme Court of India, making comeback soon with license to participate 6G auctions in future 2030
ProductsGSM, GPRS, EDGE

S Tel Private Limited was a GSM based cellular operator in India. It was owned jointly by Chinakannan Sivasankaran. (51%) and Bahrain Telecommunications (49%).[1] On 2 February 2012 Supreme Court of India cancelled all 122 spectrum licences granted during the tenure of former communications minister A Raja. Six licences of S Tel were cancelled, and Batelco sold its stake in S Tel. The sale was completed in late 2012.[2]

Controversy

License cancelled by Supreme Court

On 2 February 2012, The Supreme Court of India cancelled all 122 spectrum licences granted during the tenure of former communications minister A Raja, including the 6 licenses granted to S Tel.[3][4] The Supreme Court of India also imposed a fine of ₹ 50 lakh on S Tel.[5][6]

Batelco sells stake

On 8 February 2012, a few days after The Supreme Court ruling, Batelco sold its 42.7% share of S Tel to Sky City Foundation Ltd of India for 65.8 million Bahraini dinar (US$174.5 million).[7][8] Batelco's Group Chief Executive Shaikh Mohamed bin Isa Al Khalifa said in a statement, "BMIC Limited, a 100 per cent Batelco-owned subsidiary company, entered into an agreement, in the fourth quarter of 2011 to sell its 42.7 per cent stake in S Tel for USD 174.5 million to its Indian partner, Sky City Foundation Limited".[3] The sale was to be completed by the end of October 2012.[9]

Current status

S Tel services is no longer available in India following the cancellation of its six UAS licenses on 17 February 2012. On 29 February 2012 it was reported that S Tel boss Sivasankaran wrote to Manmohan Singh, former Prime Minister of India, demanding Rs. 1700 Crore investment while offering to surrender its licenses.[10]

References

  1. ^ Dave, Sachin (20 June 2009). "Sivasankaran acquires control of S Tel". India Times - Economic Times. India Times. Retrieved 25 January 2010.
  2. ^ Biswas, Rudradeep (8 February 2012). "Batelco Exits Scam Filled Indian Telecom Market, Sells of Shares in STel". Telecomtalk.info. Retrieved 27 November 2013.
  3. ^ a b PTI (9 February 2012). "2G case: Batelco exits STel after SC order; sells stake for $175 mn - Economic Times". Articles.economictimes.indiatimes.com. Retrieved 27 November 2013.
  4. ^ "Supreme Court quashes 122 2G licences awarded in 2008". DNA.
  5. ^ "2G scam: SC scraps 122 licences granted under Raja's tenure, trial court to decide on Chidambaram's role". The Times of India. 2 February 2012. Archived from the original on 29 October 2013.
  6. ^ "122 licenses Cancelled". Money Control. 2 February 2012.
  7. ^ "Batelco to Sell STel Stake to India's Sky City Foundation - Deal Journal India - WSJ". Blogs.wsj.com. 8 February 2012. Retrieved 27 November 2013.
  8. ^ "Batelco hangs up as SC blow hits home". DNA.
  9. ^ "Batelco exits STel; sells stake for $175mn - Business Today - Business News". Businesstoday.intoday.in. 8 February 2012. Retrieved 27 November 2013.
  10. ^ "2G verdict fallout: Return my Rs 1700 crore, S Tel boss Sivasankaran writes to Manmohan Singh - The Times of India". The Times Of India.

External links

Retrieved from "https://en.wikipedia.org/w/index.php?title=S_Tel&oldid=1094010319"