New Delhi The Department of Telecommunications (DoT) has terminated with immediate effect the spectrum assigned to Reliance Communications Ltd (RCOM) and its wholly owned subsidiary Reliance Telecom Ltd (RTL) through auctions conducted in 2010, 2013, 2014, 2015 and 2016.
Following the termination, the concerned spectrum assignments have been withdrawn or reverted to the Central Government. RCOM and RTL will no longer have the right to use the affected spectrum.
The DoT communications, dated October 5, 2026, were issued after the department considered the response submitted by the RCOM group on August 7 against notices issued on July 8.
According to DoT, RCOM and RTL failed to comply with applicable terms and conditions of the respective Notices Inviting Applications (NIAs). These included payment obligations related to deferred spectrum instalments and other spectrum-related charges.
The department also said the companies failed to fulfil prescribed roll-out obligations for spectrum acquired through the respective auctions. It further cited defaults in payment of spectrum usage charges and liquidated damages.
The termination could have significant implications for the resolution process of both companies. RCOM said its resolution plan provides for the sale of the right to use spectrum as an asset of the company. The application seeking approval of the resolution plan is currently pending before the Mumbai Bench of the National Company Law Tribunal (NCLT).
Similarly, the termination affects RTL’s resolution plan, which also provides for the sale of its right to use spectrum as an asset. The application for approval of RTL’s resolution plan is also pending before the NCLT Mumbai Bench.
RCOM said it is examining the financial and operational implications of the DoT order. The company is evaluating the communications and will take appropriate steps in accordance with applicable laws.
Spectrum acquired in 2010
In its October 5 communication, DoT said the spectrum assigned to RCOM and RTL following the 2010 auction was governed by the terms and conditions of the NIA dated February 25, 2010. These included specific roll-out obligations and payment of applicable spectrum-related charges.
The department alleged that the RCOM group failed to comply with the roll-out obligations under Section 3.4 of the 2010 NIA. It also said the group defaulted on payment of spectrum usage charges, liquidated damages and other charges imposed by DoT.
The July 8 notice issued by DoT had asked the RCOM group to clear its entire outstanding dues and explain why the spectrum assignments should not be terminated and the spectrum withdrawn or reverted to the Central Government.
The latest decision means the spectrum covered by the termination will no longer remain available for use by RCOM or RTL. The move comes as both companies continue to pursue resolution plans before the NCLT.
The financial and operational consequences of the termination, including its impact on the proposed resolution plans and any potential spectrum-related asset transactions, are still being assessed by the companies.
