Russia on Monday said that the dispute over Sistema following the cancellation of its 2G licences will have its impact on the foreign investment which could also affect Indo-Russia bilateral cooperation.

Speaking on the sidelines of a cultural event Russian Ambassodor to India Alexander Kadakin said that if Indian courts fail to resolve the issue, there will be no option left but to take recourse to international arbitration. He said that Russia has expressed its displeasure over the issue many time in the past. "We are upset about the decision," he said.

Sistema Shyam Teleservices Ltd in which Sistema holds 56.68 per cent stake lost 22 spectrum licences following the Supreme Court’s February 2 verdict. The apex court cancelled 122 licences allottedin 2008  during the tenure of the former telecom minister A Raja. These licences were believed to be rigged.  

Sistema has invested USD 3.1 billion in telecom venture in India and Russia has already said that it will not let this huge investment go waste.