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Monthly Archives: February 2012

SC cancels 122 illegal licences of private companies – Historic Judgement

02 Thursday Feb 2012

Posted by VAN NAMBOODIRI in 2G Scam Corruption

≈ 1 Comment

JOINT ACTION COMMITTEE OF ASSOCIATIONS / UNIONS

OF BSNL EXECUTIVES & NON-EXECUTIVES

D-7, Telegraph   Place, Gole Market, New Delhi – 110 001

___________________________________________________________________________________________

2G – Historical Verdict of Supreme Court

 The Joint Action Committee of BSNL Associations and Unions of Executives and Non-Executives heartily welcomes the verdict of Supreme Court cancelling 122 2G Licences of 11 telecom companies which secured licences through illegal and irregular methods in 2008. The judgement has exposed the biggest corruption estimated at 1.76 Lakh crore by CAG.

The JAC has been continuously demanding the cancellation of these illegal licences, impose penalty on them and also book the corrupt politicians and government officers involved.

The telecom sector, after privatisation, has been witness to all kinds of corruptive practices, tax-evasion by showing less revenue, conversion of ISD/STDcalls in to local calls for avoiding taxes, and so on. The DOT as well as TRAI/TDSAT have been taking a soft stand on all these illegal activities and bailing out them, instead of taking strong measures to curb the corruptive practices.

In addition, the telecom PSUs, BSNL and MTNL has been the victims of these irregularities, since the private companies benefited while BSNL / MTNL have acted as per all rules and regulations paying taxes etc.

In order to implement the so-called ‘reforms’ and neo-liberal policies, the government has been acting on a pro-private and anti PSU line, which has been clearly exposed now.

The JAC demands the government to have a fresh look on all the earlier irregular transactions in the telecom sector and introduce transparent and pro-people line, instead of granting undue favour to theMNCs and corporates in the telecom sector.

The connections provided by some of the companies whose licences have been cancelled are given below:

1. Uninor (Telenor)                       363.06 lakh

2. Siestama Shyam                        150.06 lakh

3. Videocon                                      54.42  lakh

4. S.Tel                                              35.49 lakh

5. Loop                                              32.36 lakh

6. Etisalat                                         16.70 lakh

Some licences of Tata and Idea are cancelled. But they had earlier licences also. Hence how much their connections will be affected can not be easily mentioned. Idea has got 1063.81 lakh  and Tata 834.92 lakh connections.  It can be said that about 5 crore to 10 crore connections may be effected. It is a crucial time for BSNL to increase its connections.

V.A.N.Namboodiri, Convener, JAC

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Whether Minister Chidmbaram has a role in 2G Scam? SC to decide.

01 Wednesday Feb 2012

Posted by VAN NAMBOODIRI in 2G Scam Corruption

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The Supreme Court will tomorrow pronounce its judgements on the petitions seeking a direction for a probe into the alleged role of Home Minister P Chidambaram in 2G spectrum scam and for cancellation of 122 radiowave licences granted during the tenure of A Raja as Telecom Minister. The judgements will be pronounced by a bench comprising justices G S Singhvi and A K Ganguly on the plea for probe against Chidambaram and for cancellation of licences of spectrum on October 10 and March 17 respectively last year. The unanimous verdicts on both the petitions would be pronounced by Justice Singhvi. Since Justice Ganguly is retiring tomorrow, he will be sitting in a bench headed by Chief Justice of India S H Kapadia. The petitions on both the issues were filed by NGO Centre for Public Interest Litigation (CPIL) and Janata Party chief Subramanian Swamy. (Courtsey: Ganashakti)

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17 CPSUs to invest Rs. 1,40,000 crore

01 Wednesday Feb 2012

Posted by VAN NAMBOODIRI in PSU

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The  Central Government has been pressurising the Public Sector units which have surplus cash with them to invest the same. The Prime Minister announced in the meeting of the CPSEs on 31st January 2012 that 17 large Publc Sector Units have committed to invest Rs. 1,40,000 crores in the coming year. This is also one method of getting the surplus cash of PSUs in the market, as part of the neo-liberal policies of the government.

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Private telcos to pay Rs. 1,500 crore as penalty

01 Wednesday Feb 2012

Posted by VAN NAMBOODIRI in BSNL News

≈ 1 Comment

Yesterday, it was mentioned in this blog that the private telcos may be fined about Rs. 823 crore for cheating the government on showing reduced revenue for calculation of payment of revenue share to the government. Now it has been reported that these companies have been ordered to pay by the DOT a total amount of Rs. 1,600 crore including penalty. The details of the penalty to be paid by these five companies are as follows:

1. Reliance                 Rs. 551 crore

2. Bharti Airtel         Rs. 292 crore

3. Vodafone              Rs. 254 crore

4. Idea                       Rs. 113  crore

5. Tata                       Rs. 273 crore.

But whether the companies will pay the fine? Naturally, they will pressurise the government, approach the TDSAT and Courts and somehow ensure that the penalties are not paid. The government will succumb at last. This is our experience.

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700 Mhz Spectrum to be auctioned

01 Wednesday Feb 2012

Posted by VAN NAMBOODIRI in BSNL News

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The DoT has started the process for auctioning of the 700 Mhz band of Spectrum which can be used for providing broad band services using fourth generation (4G) technologies.

The Government is also trying to get the 45 Mhz wireless spectrum from the Defence for the use of telecom services.

It is interesting that these news have been coming now and then, but nothing has happened so far. BSNL was entrusted with the job of laying the network for Defence so that the latter can release the spectrum. It is not known what is the present position of the same.

 

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Air India Wage Committee submits its report

01 Wednesday Feb 2012

Posted by VAN NAMBOODIRI in PSU

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The  Committee, constituted by the Government  with Justice Dharmadhikari as Chairman to integrate, harmonise and finalise the wage structure of the employees of the Air India and Indian Airlines, which have been merged as Air India, has submitted its report to the Government. Both the companies were merged five years back, the wage integration has not taken so far, resulting in agitation and strikes, by the employees including pilots.

It is reported that the committee has recommended to reduce Performance Linked Incentives (PLI) being given in the Air-India  on the plea that it is against the DPE guidelines. Reducing the existing benefits cannot be the methods for integration by the committee. It do not motivate the workers.

Other details of the committee are yet to be known.

 

 

 

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Government business through private banks?

01 Wednesday Feb 2012

Posted by VAN NAMBOODIRI in PSU

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It is reported that Reserve Bank of India (RBI) has decided to allow private banks also to undertake the business of Central as well as State Government business. So far this was done by the Public Sector Banks and only three major private banks viz. ICICI, HDFC and Axis Banks. The present decision is taken, according to the RBI, to enhance the quality of customer service through more competition, improving customer convenience and broad basing the revenue collection. For this purpose, those private banks handling government business will have to be appointed as agents of RBI.

However, it is clear that this move is only a plan for further privatisation of the government business. The Public Sector Banks are doing a good job and they have kept the Indian economy to a certain safe from the global recession fall-out. The private banks have been putting much pressure of the government for including them also to deal with government business for some time.  This is part of the neo-liberalisation policy to weaken the PSU banks and transfer the major business to the private sector banks.

I hope that the PSU Bank employees’ unions will take up the issue seriously.

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