In June 2010, Reliance Industries (RIL) bought a 96% stake in Infotel Broadband Services Limited (IBSL) for ₹4,800 crore(US$740 million). Although unlisted, IBSL was the only company that won broadband spectrum in all 22 circles in India in the 4G auction that took place earlier that year.[6]Later continuing as RIL's telecom subsidiary, Infotel Broadband Services Limited was renamed as Reliance Jio Infocomm Limited (RJIL) in January 2013.[7]
In June 2015, Jio announced that it would start its operations all over the country by the end of 2015.[8] However, four months later in October, the company's spokesmen sent out a press release stating that the launch was postponed to the first quarter of the financial year 2016–2017.[9]
Later in July, a PIL filed in the Supreme Court by an NGO called the Centre for Public Interest Litigation, through Prashant Bhushan, challenged the grant of pan-India licence to Jio by the Government of India. The PIL also alleged that Jio was allowed to provide voice telephony along with its 4G data service, by paying an additional fees of just ₹165.8 crore(US$25 million) which was arbitrary and unreasonable, and contributed to a loss of ₹2,284.2 crore (US$350 million) to the exchequer.[10][11]
The Indian Department of Telecom (DoT), however, refuted all of CAG's claims. In its statement, DoT explained that the rules for 3G and BWA spectrum didn't restrict BWA winners from providing voice telephony. As a result, the PIL was revoked, and the accusations were dismissed.[12]
