The letter in this regard was issued by the DoT yesterday but banks refused to remit the money to it on the grounds that the company had already extended its guarantees. Koshika had informed the DoT yesterday about the extension of its bank guarantees.

DoT is now contemplating to take the matter to the Reserve Bank of India (RBI), the sources said here today. Earlier, Telecom Regulatory Authority of India (TRAI) had stayed the encashment of Koshika's bank guarantees subject to the company renewing them 15 days before their expiry on June 10. The company failed to meet this condition and DoT took advantage of it.

Meanwhile, additional solicitor general Kirit Rawal informed Delhi High court that there was no change in DoT's stand regarding its demand of 25 per cent licence fee dues in cash andbank guarantee for remaining 75 per cent from Koshika and Aircel Digilink for restoration of inter connection. "Despite the turn of event in the ministry of communications, there is no change in the stand of government as of today," Rawal said.