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National Telecom sues JT Mobile

JT Mobile, already defaulting on a variety of payments, has been put in the dock now. National Telecom of India Ltd filing a winding-up petition against it in the Karnataka high court after it allegedly refused to pay for goods and services received.

JT Mobile, one of the licensees providing mobile telephone services in Karnataka had bought 34 MB/S Optimux terminals from National Telecom, also engaging the latter for the installation and commissioning of equipment at Mangalore.

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National Telecom now claims that a large part of the Rs 936,000 payable on upon installation and successful commissioning of optical links, had not yet been handed over, though the goods were supplied in October 1997, and the installation and commissioning was complete by November 11, 1997. This, the petitioner claimed, has been certified by JT Mobile though it still held back payment of Rs 730,000, despite reminders.

JT Mobile had not even availed of National Telecom's offer that it return the goods with no further negative consequences. Since JT Mobile had still not paid, National Telecom decided to take the matter to court under the Companies Act, claiming the defender was commercially insolvent.

-Compiled from the Indian media

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