New Delhi: Ending the high-voltage legal tussle over the Centre's decision to implement unified licence regime, the Supreme Court today (Jan 13, 2004) allowed Cellular Operators Association of India (COAI) to withdraw its appeal challenging the new telecom policy decision as well as the grant of licence to basic operators to provide limited mobility WLL (Wireless Local Loop) services.

A Bench comprising Justice Y K Sabharwal and Justice AR Lakshmanan allowed the application of the COAI to withdraw their appeals after their counsel mentioned it.

Following an over Rs 960 crore package with extra incentives to cellular firms, COAI had on January 6 filed an application in the apex Court to withdraw cases against WLL services and unified licence regime.

Before the incentives were given, COAI had challenged the unified licence regime saying it was done to favour one of the basic operators and had also alleged that the grant of licences to basic operators to offer limited mobility was against the National Telecom Policy (NTP).

In December last year, Government had announced concessions of over Rs 960 crore annually for the telecom industry with a focus on cellular companies, who in turn had committed to withdraw their case in the Supreme Court against the WLL services by basic operators.

Under the financial package effective from April 1, 2004, Government reduced licence fee by two percentage points, from 12, 10 and eight per cent, across the board.