Vodafone Idea: Government May Exit as Financial Relief Continues

सही उत्तर: B

Statement 1 is incorrect. The Supreme Court, in its 2019 judgment, upheld the Department of Telecommunications' (DoT) definition of AGR, which includes all revenue earned by a telecom company, including non-telecom sources like rent, dividend, and interest income, in addition to revenue from telecom services. This significantly broadened the base for calculating statutory dues. Statement 2 is correct. The Supreme Court's ruling on AGR indeed led to a massive increase in the financial liabilities of telecom operators, as they had to pay dues based on the expanded definition of AGR retrospectively. Statement 3 is correct. The 2021 telecom relief package included a four-year moratorium on payment of spectrum usage charges and AGR dues, among other measures, to provide financial relief to the struggling sector.

सही उत्तर: B

Statement 1 is correct. Strategic disinvestment involves the sale of a substantial portion of government shareholding (often 51% or more) in a Public Sector Undertaking (PSU) to a private entity, accompanied by the transfer of management control. This is distinct from minority stake sales where management control remains with the government. Statement 2 is incorrect. While revenue generation is a benefit, the primary objective of strategic disinvestment is to promote economic efficiency, modernize PSUs, introduce private sector management practices, and unlock the true potential of the enterprise. Revenue generation is often a secondary objective, unlike minority stake sales where it's a primary goal. Statement 3 is correct. The Department of Investment and Public Asset Management (DIPAM) under the Ministry of Finance is the nodal agency for all disinvestment activities of the Central Government, including strategic disinvestment.

सही उत्तर: C

The concept of 'lender of last resort' traditionally refers to a central bank (like RBI) providing liquidity to solvent banks facing temporary cash flow problems to prevent a financial crisis. However, in a broader sense, a government can act as a 'lender of last resort' for strategically important industries or large corporations when their failure could have significant economic or social repercussions. In the Vodafone Idea case: Option A is incorrect. The government did not provide direct loans; it converted existing dues into equity. Option B is incorrect. The RBI acts as the lender of last resort for banks, not directly for private telecom companies. Option C is correct. The government's action of converting Vodafone Idea's statutory dues (AGR and spectrum payments) into equity, thereby becoming a major shareholder, was a measure to stabilize the struggling company and prevent its potential collapse, which could have led to a duopoly in the telecom sector and significant job losses. This intervention, though not a direct loan, served a similar purpose of preventing a crisis by providing financial relief and stability. Option D is incorrect. While public sector banks might have exposure, the government's direct intervention was through equity conversion, not by mandating fresh capital from banks.