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BJP takes UPA-II to task over 2G scam

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ANI New Delhi
Last Updated : May 20 2013 | 8:05 PM IST

The Bharatiya Janata party (BJP) accused the former Telecom Minister A.Raja of trying to deceive the people with his 'zero loss theory', in the 2G- spectrum allocation scam.

Senior Bharatiya Janata party (BJP) leader, Meenakshi Lekhi also criticised the Telecom Minister, Kapil Sibal for trying to mislead the people of the country.

Lekhi said: "The very fact that 9220 Mhz frequency is most wanted frequency because all FMs stc run and infrastructure cost is very low on this particular frequency whereas the one sent for auction is of higher frequency, the auction was of a different nature of goods itself which requires higher infrastructure. Even there they have earned a lot of revenue and under these circumstances I think there is a presumption by Sibal that rest of the people in this country only have zero intelligence which is incorrect. "

The Central Bureau of Investigation (CBI) had charged 19 people, including A. Raja, who had presided over the permit sale and six companies in the case and their trial is in progress.

The Supreme Court had also ordered police to investigate any possible irregularities in the allocation of mobile airwaves from 2001 to 2007.

The 2G scam, which may have cost the exchequer up to $39 billion in lost revenue, has led to the sacking and arrest of a former minister and a federal police investigation into telecom firms that has hit India's blue-chip Sensex index.

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However, telecom minister, Kapil Sibal contradicted the loss figures reported by CAG with his zero loss theory.

Sibal termed CAG's estimates as flawed and claimed that there was no loss to the government as he proposed that his theory was based on different calculation.

CAG had earlier suggested auctioning of the telecom licenses to compensate for the losses and India's apex court gave a green signal to the suggestion after cancelling more than hundred licenses of telecom operators in early 2012.

However, re-auctioning of the spectrums which took place towards the end of 2012 could not compensate even one-fourth of the losses and became a mockery of the ruling government and ministers.

"Well I always maintained that the entire basis of the CAG's report was inherently flawed. The crux of its thesis was that if an auction was held, it would yield revenue to a tune of 1 lakh 76 thousand crores ($156 million). The fact is that an auction was held but where is that 1 lakh 76 thousand crores ($156 million)?" said India's information and broadcasting minister, Manish Tiwari.

There was a separate case over bandwidth allocations in 2008 in which the state auditor said the ruling Congress Party-led government might have lost up to $32.5 billion due to radio spectrum sales at below-market prices.

A joint parliamentary panel was set up to investigate the details of the scam and in its draft report the panel has cleared the names of Prime Minister Manmohan Singh and Finance Minister P. Chidambaram, saying that the then telecom minister, A. Raja had 'misled' them.

India is using spectrum auctions and stake sales in state-run companies to contain its deficit to within 5.2 percent of GDP this fiscal year and 4.8 percent in the next fiscal year that commenced in April.

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First Published: May 20 2013 | 7:35 PM IST

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