The security deposit is approximately Rs 2.5 crore for each of the operators for 1997-98. The deposit amount is the average monthly call charges of the operator after a year of operations as per the licence conditions. A decision on whether bank guarantees can be accepted in lieu of the security deposit is expected in a day or two, the source said.

However, a new problem has now cropped up with the auditor (CAG) insisting on a 20 per cent surchage. The demand notice was sent to the operators on May 98 and since both parties did not make the payment within 15 days of receipt of the notice they will now have to pay an interest of 20 per cent on the amount as per the licenceconditions, the source said.