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New Delhi, Jun 18: Vodafone Idea on Thursday told the Supreme Court that it has incurred Rs 1 lakh crore losses as it insisted it is not in a position to furnish bank guarantees.

A bench comprising Justices Arun Mishra, S. Abdul Nazeer, and M.R. Shah, taking up the adjusted gross revenue (AGR) matter through video conferencing, directed the telecom companies to submit their financial documents and books for the last 10 years.

Asking Vodafone if it was a foreign company, the bench said that how can the company say it would not furnish any bank guarantee.

"What if you fly away overnight in future without paying anything?" it asked.

Senior advocate Mukul Rohatgi, representing Vodafone Idea, denied his client is a completely foreign firm and cited before the bench its tie-ups and investments.

Vodafone owes over Rs 58,000 crore as AGR dues and so far, has paid close to Rs 7,000 crore.

Rohatgi contended before the court that the telecom company is in a tough situation, and cannot furnish any fresh bank guarantee, as profits have eluded the company in past many quarters. He submitted before the bench that Rs 15,000 crore bank guarantees are lying with the government, and his client's losses are over Rs 1 lakh crore.

"I cannot offer any more surety," he informed the bench.

Justice Mishra noted that this is public money and these dues should be recovered. "Do not tell us that you will pay if you were to make profits... the money must come," he noted.

Justice Shah observed that the telecom industry is the only industry which earned during the Covid-19 pandemic. "After all, this money will be used for public welfare", he said.

Rohatgi argued that his client would have to fold up if orders were issued to clear dues tomorrow. "11,000 employees will have to go without notice, as we cannot pay them," he added.

Senior advocate Abhishek Manu Singhvi, appearing for Bharti Airtel, contended before the court that out of Rs 21,000 crore AGR dues, the company has already deposited a sum of Rs 18,000 crore.

He argued that his client has given a bank guarantee, in excess of demand, to DoT, and supported the proposal for phased repayment of remaining AGR dues. He insisted that the company needs to sit down with the government and calculate the dues. Airtel owes Rs 25,976 crore after paying Rs 18,000 crore, as per the government.

Senior advocate Arvind Datar, representing Tata Telecom, informed the bench that his client has paid Rs 6,504 crore in AGR dues so far, and furnishing a bank guarantee may adversely impact investments in the sector.

The total AGR dues are close to Rs 1.5 lakh crore.

The top court will now take up the matter in the third week of July.

The World Bank says that a lack of credit and drop in private consumption have led to a gloomy growth outlook for India with a steep cut in growth rate for the current fiscal year and only a modest gain projected for the next year.

India's growth rate is forecast to be only 5 per cent for the current fiscal year, weighed down by a growth of only 4.5 per cent in the July-September quarter, according to the 2020 Global Economic Prospects report released on Wednesday.

"In India, [economic] activity was constrained by insufficient credit availability, as well as by subdued private consumption," the Bank said.

The growth rate is forecast by the Bank to pick up to 5.8 per cent in the next fiscal year and to 6.1 per cent in 2021-22.

India's growth rate was 6.8 per cent in 2018-19.

The 5 per cent growth rate projection for the current financial year is a sharp cut of 2.5 per cent from the 7.5 per cent forecast made by the Bank in January last year, toppling it from the rank of the world's fastest growing economy.

India's performance follows a global trend of lowered growth weighed down by developed economies.

The report estimated world economic growth rate to be only 2.4 per cent last year and forecast it to edge up 0.1 per cent to 2.5 per cent in the current year.

Even with the lower growth rate of 5 per cent in the current fiscal year and 5.8 per cent forecast for the next, India holds the second rank among large economies, behind only China with an estimated growth rate of 6.1 per cent for 2019 and 5.9 per cent this year.

The report blamed "weak confidence, liquidity issues in the financial sector" and "weakness in credit from non-bank financial companies" for India's slowdown.

The Bank predicated India's recovery to 5.8 per cent in the coming financial year for India but "on the monetary policy stance remaining accommodative" and the assumption that "the stimulative fiscal and structural measures already taken will begin to pay off."

It also warned that sharper-than-expected slowdown in major external markets such as United States and Europe, would affect South Asia through trade, financial, and confidence channels, especially for countries with strong trade links to these economies."

The Bank said that the growth of advanced economies was 1.6 per cent last year and "is anticipated to slip to 1.4 per cent in 2020 in part due to continued softness in manufacturing."

In contrast the growth of emerging market and developing countries is expected to accelerate from 3.5 per cent last year to 4.1 per cent this year, the report said.

In South Asia, Bangladesh is estimated to have the highest growth rate of 7.2 per cent in the current fiscal year, although down from 8.1 per cent last fiscal year.

But its higher regional growth rates are coming off a lower base with a per capital gross domestic product of $1,698 compared to $2,010 for India.

Bangladesh is expected to grow by 7.3 per cent in the next financial year.

Pakistan's growth rate is estimated at only 2.4 per cent in the current fiscal year and is projected to rise to 3 per cent in the next, according to the Bank.

The Bank blamed monetary tightening in Pakistan for a sharp deceleration in fixed investment and a considerable softening in private consumption for the fall in growth rate from 3.3 per cent in the 2018-19 fiscal year.

Sri Lanka's growth rate was estimated to be 2.7 per cent last year and forecast to grow to 3.3 per cent this year.

Nepal grew by an estimated 6.4 per cent in the current fiscal year and will rise to 6.5 per cent in the next.

Feb 19: India captain Virat Kohli on Wednesday dropped enough hints to indicate that seniormost pacer Ishant Sharma and young opener Prithvi Shaw will be in the playing XI for the first Test against New Zealand in Wellington. If India's net session on Wednesday is taken into consideration, Wriddhiman Saha is starting as the wicketkeeper ahead of Rishabh Pant for the series opener beginning on Friday. Hanuma Vihari, the team's designated No 6 batsman for away Tests, will be the fifth bowling option with Jasprit Bumrah, Mohammed Shami and Ishant being three specialist pacers.

Ravichandran Ashwin is in the mix for the lone specialist spinner's spot though Ravindra Jadeja's all-round skills can't be ignored either.

Ishant, who was out for three weeks with an ankle injury sustained during a Ranji Trophy game, bowled full tilt at the nets and even earned appreciation for troubling batsmen with his pace and bounce.

"He (Ishant) looked pretty normal and pretty similar to what he was bowling before the ankle injury. He is hitting good areas again and he has played (Test cricket) in New Zealand couple of times, so his experience will be useful to us. It was really good to see him bowling with pace and in good areas," Kohli said during his media interaction.

The skipper also said in as many words that the team wouldn't like to change Shaw's natural stroke-play which was a good enough hint that Shubman Gill will have to warm the benches for now.

"Prithvi is a talented player and he has his own game and we want him to follow his instincts and play the way he does. Look, these guys have no baggage and are not desperate to perform in any manner," the skipper said.

The skipper wants Shaw to take a leaf out of Mayank Agarwal's performance in Australia back in 2018-19 when he hit back to back half-centuries in Melbourne and Sydney.

"They don't have any nerves to do well overseas. Like a clear head with which Mayank played in Australia, Prithvi can do the same in New Zealand.

"A bunch of guys playing with fearlessness, something that can motivate the whole team, gives us start that the team wants and not get intimidated by the opposition in any way."

The skipper downplayed India's below-par show in the three-match ODI series, especially that of Agarwal.

"Prithvi, I think you can call him relatively inexperienced and Mayank, I wouldn't call him that inexperienced because he has scored a lot of runs last year. So he understands what his game is like in Test cricket.

"I think sometimes in white ball cricket we try to do too much but once you come into red ball cricket, you fall into that disciplined mode of batting, which obviously suits him much more at this stage."

While he didn't give an answer on the Saha-Pant debate, the burly Delhi keeper had precious little to do at the main nets and was seen spending more time doing his keeping drills and only got an opportunity to bat when the first team completed its routines.

New Zealand are likely to go with an all-pace attack but the Indian captain wants to stick to his team's strengths which is play with one spinner in the four-pronged bowling attack.

"If it had been a Johannesburg pitch, I could have said it's a possibility (to play four pacers) but our team has that skill that we can bowl out other teams with only three fast bowlers," he sounded confident.

"But you need one world class skillful spinner, who can take wickets on any pitch. We won't copy the home team. We would rather figure out what is the most lethal combination, which gives us balance," he added.

"As a bowling group it's better than the one that came to NZ last time and that is why we have got so many teams all out in last two and half years. We would like to repeat that here also," Kohli added.