Hutch Hadtal

Posted on | July 19, 2006 |

Mobile product retailers in Mumbai have been on strike since a month, protesting against a cut in by mobile operators.

For over a month now, retailers have not been selling recharge vouchers and new connections of Hutch, Airtel and BPL in most areas of Mumbai. They were protesting against reduction in commission from 3.25% to 2.36%. The margins in products of other service providers, including Reliance, Tata and MTNL range from 4% to 6%.

ET reports that the strike could possibly fizzle out over the next few days following differences of opinion among retailers.

Some members of the Mobile and Telecom Retailers’ and Distributors’ Association (MTRDA) have decided to stop the sale of Hutch products alone, after the company threatened to further reduce commissions from 2.36% to 1.5%.

The association’s decision to start selling recharge vouchers and new connections of all other telcos, including Bharti Airtel and BPL Mobile, when Airtel has not agreed to raise the commissions of retailers, has not gone down well with other retailers.

MTRDA also alleged that none of the Hutch distributors in Mumbai had given TDS certificate to retailers. “We will soon write to the Income Tax department to investigate whether the money was deposited in the government treasury or not,

Category: General

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