Let us look at a few facts in this context: 1. The gross revenue figure reported by R-Com to TRAI and DoT is a wanton understatement of gross revenue to avoid paying licence fees. R-Com indulged in systematic fraud that resulted in a loss of Rs. 352 crores to the Government and enrichment of the company. The matter is under probe by TRAI and CVC. 2. How is it that the company has reported a net interest income of Rs620.5 crore despite having a net debt of Rs22,163 crore? 3. With a net debt of at least Rs20,000 crore, few analysts had factored in interest income. Lack of clarity on accounting policy—especially on finance income—has been cited as one of the reasons for Citigroup Inc.’s decision to value the firm at a 15% discount compared with rival Bharti Airtel Ltd. 4. There were some surprises on the business front, too, with minutes carried on the company’s wireless network rising by at least 11% quarter-on-quarter, on the back of a mere 3.7% growth in the March quarter. Bharti, despite adding more customers last quarter, reported a 7.7% increase in minutes carried on its mobile network. 5. Even the reported depreciation seems to be relatively low. Although the capitalized fixed assets on the balance sheet have been rising in the past two quarters, depreciation has hardly risen commensurately. In the June quarter, depreciation fell marginally compared with the March quarter. 6. The firm also continues to have a high capital work-in-progress (CWIP) on its balance sheet of at least Rs10,000 crore. According to an analyst with a foreign brokerage, who declined to be named, almost all of the company’s projects have been commissioned and it’s surprising that CWIP continues to be as high.