* The licences granted to private telecom companies on or after Jan 10, 2008 pursuant to two press releases issued Jan 10, 2008 and subsequent allocation of spectrum to the licencees are declared illegal and are quashed.
* The above direction shall become operative after four months.
* Within two months, the TRAI (Telecom Regulatory Authority of India) shall make fresh recommendations for grant of licence and allocation of spectrum in 2G band in 22 service areas by auction, as was done for allocation of spectrum in 3G band.
* The central government shall consider the recommendations of the TRAI and take appropriate decision within one month and fresh licences be granted by auction.
* Respondent numbers 2, 3 and 9 (telecom companies) who were benefited by a wholly arbitrary and unconstitutional action taken by the DoT (department of telecommunications) for grant of UAS (universal access service) licences and allocation of spectrum in 2G band and who off-loaded their stakes for many thousand crores of rupees in the name of fresh infusion of equity or transfer of equity shall pay cost of Rs.5 crore each.
* Respondent numbers 4, 6, 7 and 10 (telecom companies) shall pay cost of Rs.50 lakh each because they too had been benefited by the wholly arbitrary and unconstitutional exercise undertaken by the DoT for grant of UAS licences and allocation of spectrum in 2G band.
* Fifty percent of the cost shall be deposited with the Supreme Court Legal Services Committee for being used for providing legal aid to indigent litigants. The remaining 50 percent cost shall be deposited in the Prime Minister's National Relief Fund.
* It is made clear that the observations and conclusions contained in this order shall not, in any manner, affect the pending investigation by the Central Bureau of Investigation (CBI), the directorate of enforcement and other agencies or prejudice the defence of those who are facing prosecution in the cases registered by the CBI and the special judge, CBI, shall decide the matter uninfluenced by this judgment.