India's Vodafone Idea had its petition to waive more than $5 billion in debt it owes the government rejected by the country's top court on Monday, dealing a hammer blow to the country's third-largest telecom company.

Shares of Vodafone Idea Ltd. fell over 12% in trade on Monday, after the Supreme Court dismissed the telecom operators' petition on adjusted gross revenue dues waiver, calling them 'misconceived.' This follows the government's plea rejection for relief earlier in the day.

Vodafone Idea shares plummeted after the Supreme Court rejected its plea to waive over $5 billion in interest and penalties on statutory dues. The telecom operator, burdened with $25 billion in net debt,