The Comptroller and Auditor General of India (CAG) today confirmed that ‘certain activities’ of the Department of Space were being investigated by the apex auditor.
The comment was in response to media reports which said CAG had found some agreements signed between the Indian Space Research Organisation (Isro) and a private player six years ago on allocation of spectrum had resulted in huge financial loss to the exchequer.
Stating that the investigation was still at a preliminary stage, CAG said the department was yet to respond to the queries raised by the auditor.
“The news item gives the impression as if our audit has been finalised. Since the audit is at a very preliminary stage, it can by no stretch of imagination, be concluded that information as given in the media reports are findings of this department,” the statement said.
According to reports, CAG points to a possible loss of over Rs 200,000 crore to the exchequer as an Isro arm allotted S-band spectrum (airwaves) to a private firm for a very low price.
CAG has reportedly questioned the absence of competitive bidding in allotting the spectrum to the chosen player.
The CAG report on 2G spectrum allocation had snowballed into a major controversy resulting in the arrest of former communications minister A Raja by the Central Bureau of Investigation last week.