Stepping up pressure on India, Russia today warned it that it will go for international arbitration if the issue of cancellation of 2G licence involving Russian telecom giant Sistema was not resolved in Indian courts.
“If the issue of cancellation of 2G licence to Sistema is not resolved in Indian courts, we will go for international arbitration,” Alexander Kadakin, Russian Ambassador to India, said on the sidelines of a cultural event.
“We are upset about the decision,” Kadakin added.
Russia, which has been conveying its unhappiness over the issue time and again, had earlier said the row over Sistema will have “great repercussion” not only on Indo-Russian bilateral cooperation but also for foreign investments in India.
Sistema holds 56.68 per cent stake in Sistema Shyam Teleservices Ltd (SSTL) whose 21 out of 22 licences were cancelled by the Supreme Court in February on the grounds that the 122 permits issued by the then Telecom Minister A Raja were “arbitrary and unconstitutional”.
The Russian government holds 17.14 per cent stake in SSTL.
Russia had previously asserted it will not let Sistema’s $3.1 billion investment in its Indian telecom venture go waste due to “internal problems” here.