Bharti Hexacom Penalized Rs 2.20 Lakh by DoT for Subscriber Verification Violations; Dispute Underway

Bharti Hexacom Fined Rs 2.20 Lakh by DoT for Subscriber Verification Lapses

Overview Bharti Hexacom Limited has announced that it has received a penalty notice from the Department of Telecommunications (DoT) for alleged non-compliance with subscriber verification norms. The notice, dated February 17, 2026, imposes a financial penalty of Rs 2,20,000 on the telecommunications company. This action follows a Sample Customer Application Form (CAF) Audit conducted by the DoT's North East Licensed Service Area (LSA) for the quarter ending September 2025.

Key Developments

• Penalty Imposition: Bharti Hexacom was issued a penalty of Rs 2,20,000 by the Department of Telecommunications, North East LSA.
• Violation Details: The penalty is attributed to alleged violations of the subscriber verification terms and conditions stipulated in the company's License Agreement.
• Audit Basis: The DoT's decision was based on the findings of a Sample Customer Application Form (CAF) Audit conducted for the quarter ending September 2025.
• Notice Date: The company received the official penalty notice on February 17, 2026, at 16:04 IST.
• Disputed Penalty Rate: Bharti Hexacom has indicated that the penalty amount is currently under dispute, suggesting the levied rate is considered higher than expected by the company.

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Business Impact The company has stated that the maximum financial impact from this penalty is limited to the Rs 2,20,000 levied. However, the ongoing dispute over the penalty rate could potentially lead to further discussions or legal proceedings, although the immediate financial exposure is capped at the stated amount.

Market Context This regulatory penalty represents a minor financial setback for Bharti Hexacom. While the amount is not substantial in the context of a large telecommunications operator, it highlights the importance of stringent adherence to regulatory compliance in the sector. Investors will monitor any further developments regarding the dispute.

Industry Context Telecommunications operators are subject to strict regulatory oversight, particularly concerning customer onboarding and data verification. The DoT regularly conducts audits to ensure compliance with licensing agreements, which are crucial for maintaining national security and preventing fraudulent activities. Violations can result in penalties, warnings, or other regulatory actions.

Looking Ahead Bharti Hexacom is actively engaged in disputing the penalty rate, suggesting a potential for negotiation or further clarification with the DoT. The company's focus will likely be on resolving this matter efficiently while reinforcing its internal compliance mechanisms for subscriber verification.