RCom RP files curative plea against SC spectrum insolvency ruling

The Resolution Professional for Reliance Communications has filed a curative petition in the Supreme Court, seeking recall of its February 13 judgment that excluded spectrum from the Insolvency and Bankruptcy Code. The petition was filed on Friday, 16 October 2026. It argues the ruling is causing irreversible harm, as the Department of Telecommunications invoked bank guarantees in August and terminated RCom's spectrum on 5 October.

The plea contends that excluding spectrum strips lenders of the asset against which they extended credit, leaving banks without recourse and potentially tightening lending to the telecom sector. It also warns the ruling could set a precedent for mining leases, oil and gas licences, and other concessions. The RP argues the judgment did not consider the explanation to Section 14(1) of the IBC, which protects licences from termination during a moratorium if current dues are paid, and notes that RCom's current dues were paid. It also says the government's admitted claim of Rs 31,276 crore gives the DoT a de facto super-priority, contrary to the Swiss Ribbons ruling.