External monitors to be appointed for FM Phase III auctions

The I&B ministry has sought the Central Vigilance Commission's nod for appointment of independent external monitors to keep a watch over the auctioning process for FM Phase III radio which it wants to conduct at the earliest.
Sources said that after the CVC turned down its earlier request to appoint representatives on an inter-ministerial committee formed to supervise the auctions, the ministry has sought the watchdog's approval for appointing independent observers.
Officials said that the name of one officer as an independent external monitor has already been approved and the ministry is awaiting for some additional names to be cleared before it takes the process to conduct auctions forward.

"Procedural formalities are being expedited to pave way for the e-auction of the FM channels. After the independent external monitors, approved by the CVC have been chosen, notice inviting applications would be brought forth," I&B Secretary Bimal Julka said when contacted.
Sources said that the auction of radio channels involves allocating spectrum and the I&B ministry has been trying to adopt a cautious and transparent approach as the 2G spectrum issue created controversy.
The Cabinet has already given its assent to the I&B ministry's proposal for conducting ascending e-auction for FM channels, as has been followed by Department of Telecommunications (DoT) for the auction of 3G spectrum.

The phase III of radio auctions intends to provide coverage of cities with a population of one lakh and above with private FM radio channels.
The government expects to garner nearly Rs 1,500 crore in revenue from the auction of phase III FM radio licence for providing services in 227 cities, in addition to 86 cities covered currently.