The issue of cancellation of 2G licences of Sistem Shyam came up during the bilateral meeting between the Prime Minister Manmohan Singh and the Russian President Dmitry Medvedev on Thursday.

During the discussions the Russian President expressed his concerns over the issue while Prime Minister Manmohan Singh assured him that the government is quite serious about resolving the issue ensuring that the foreign investments are protected in the country.

According to External Affairs Ministry spokesperson Syed Akbaruddin, the two leaders agreed to continue with the consultations under the framework of Indian law, said.

The Supreme Court in February 2 verdict had cancelled all the 122 spectrum licences allotted in 2008 during the tenure of the former telecom minister A Raja. Sistema Shyam is set to lose 21 licences. Sistema following the apex court verdict. Sistema has invested of $3.1 billion and has 56.68 per cent stake in Shyam Sistema Teleservices (SSTL). Russian Government has a stake of 17.14 per cent in the company.