Category Archives: Corruption

Govt. fully responsible for the sluggish 2G Auction

17 Saturday Nov 2012

Posted by in 2G Scam Corruption

≈ 1 Comment

Tags

Central ministers like P.Chidambaram, Kapil Sibal and Manish Tiwari have once again criticised the CAG for his report of loss of Rs. 1.76 lakh crore for the government in the 2G scam. Now that the government has got only Rs. 9,407 crore, far less than the estimated Rs. 40,000 crore in the present auction, the opportunity is used by the Ministers to criticise CAG instead of a soul-searching why the auction amount is reduced.

The fact is that the entire spectrum available has not been put for auction. Secondly, there were no bidders for auction in some circles. Third and most important is that, it is clear that the private telecom companies have bid only for a few circles with an understanding for cartelisation. They fully believe that sharing will be allowed and they can give service without bidding for all circles. They had already provided service in the same way in circles, where they did not have 3G licence. The fourth is the present the  economic recession.

In each and every point mentioned above, the government and its wrong policies are fully responsible.  C AG has done his job correctly and he cannot be blamed for the wrong policies of the government. Ministers should apologise for such bad remarks.

Govt. preparing for another 2G Auction

16 Friday Nov 2012

Posted by in 2G Scam Corruption

≈ Leave a comment

Tags

The government plans to put on auction the circles that went without bids in the just concluded sale of 2G mobile phone spectrum, by March 31, telecom minister Kapil Sibal said on Friday. The “intent” is to have the auction of spectrum in four circles, including Delhi and Mumbai, before the end of the fiscal, Sibal told a news conference. Blaming sensationalism for collapse of the country’s telecom growth story, Sibal said that India is no longer a ‘story we can share with the world’. Stating that the government was limited in its policy prescriptions, Sibal said that policymaking is best left to the government, however its wrong implementation can be open to judicial review. “Telecom is a proud growth story but something happened in 2007-08 which started a trend, emasculating the hand that laid the golden egg,” Sibal said. Sibal is of the opinion that the dynamics of market change from time to time. “Revenue cannot be the sole criterion of policy,” he said. Had the government stuck to TRAI recommendations on the 2G spectrum auction, the result would have been worse, he added. Finance minister P Chidambaram said the government “was not celebrating” the flopping of the auction and will continue to move forward. An Empowered Group of Ministers (EGoM) “will be meeting soon” to decide on the next course of action, he said. The auction, which lasted just two days, got total bids worth Rs 9,407.64 crore, just one-third of the minimum Rs 28,000 crore the government was expecting. The auction was a far cry from the 35-day bidding for the 3G spectrum in 2010 that got Rs 67,719 crore. Sibal said besides Rs 9,407.64 crore from the auction, the government will also get Rs 7,936 crore by way of one-time fee to be levied on existing telecom operators holding spectrum more than a prescribed limit. “There will be substantial net gain,” Chidambaram said.

 

2G Spectrum Auction a squib – Report by Hindu

14 Wednesday Nov 2012

Posted by in 2G Scam Corruption

≈ Leave a comment

Tags

The much talked about 2G mobile phone spectrum auction ended in a damp squib today with half of the airwaves on offer remaining unsold and government getting just about one—third of the targeted revenue.

According to preliminary estimates, the government received bids worth “much—less” than Rs. 10,000 crore in an auction that ended in two days, a far cry from the 35—day bidding for the 3G spectrum in 2010 that got Rs. 67,719 crore.

The government was targeting Rs. 28,000 crore from the sale of 2G spectrum in the GSM band.

Videocon and Idea won spectrum in 7 circles while Telenor got spectrum in 6 circles. Airtel and Vodafone won spectrum in one circle each, industry sources said.

No comment was available from government officials.

None of the five companies in fray bid for a pan-India spectrum for which the reserve price was set at Rs. 14,000 crore for 5 Mhz of airwaves.

The scant interest in the 2G auction was attributed to high base price.

The government had put on auction a substantial part of the spectrum that was freed from Supreme Court in February this year cancelling 122 mobile permits issued by the then Telecom Minister A Raja to nine telecom players in 2008.

The Comptroller and Auditor General of India (CAG) had in 2010 had said that the decision to give away spectrum at rates fixed in 2001 could have resulted in a presumptive loss of Rs 1.76 lakh crore to the exchequer taking the price garnered in the 3G auction as the benchmark.

The government thereafter fixed the base rate for 2G auction at almost equivalent to the third—generation (3G) auction price.

Further, as the government has promised to refund the license fee paid in 2008, the net gain to the exchequer may be almost nil.

The tepid response to the auction may mean that the government will find it difficult to meet the revised fiscal deficit target of 5.3 per cent of GDP.

Sources said metro cities of Delhi and Mumbai, which accounted for 40 per cent of the base price of Rs. 14,000 crore for 5 MHz of 2G spectrum, drew no bids at all.

Bids in most of the circles were around the base price with the exception of Uttar Pradesh East and West besides Bihar. Infact, the auction got extended into the second day only on back of interest in Bihar circle.

 

Auction for Spectrum starts on 12th November 2012

11 Sunday Nov 2012

Posted by in 2G Scam Corruption

≈ Leave a comment

Tags

New Delhi, Nov 11 : The government will begin tomorrow the auction for telecom spectrum through which it is hoping to meet Rs 40,000 crore revenue target.     The auction for the airwaves or frequencies freed from the cancellation of 122 telecom licenses, belonging to mainly eight companies, by the Supreme Court in February, will start at 0900 hours on Monday.     “We have taken quick decision, firm decisions in the telecom sector. The result of which is that we are in process of auction. 12th of November that auction will start,” Telecom Minister Kapil Sibal said at an event on Saturday.     The cancelled permits included Uninor’s 22 licences, Loop Telecom (21), Sistema Shyam (21), Idea Cellular including Spice Communications (13), Videocon (21), Etisalat DB formerly Swan Telecom (15), S-Tel (6) and Tata Teleservices (3 CDMA licences).     Instead of auctioning entire spectrum freed from cancellation of licences, the government is auctioning a maximum of 11 blocks of airwaves frequencies in each circle, barring Delhi and Mumbai where there are only eight blocks, to attract high price for spectrum.     The apex court had allowed the companies, whose permits were cancelled, to get spectrum reallocated for continuing their business if they win rights for the airwaves frequencies in the auction.     The government has fixed starting price for spectrum in the auction at Rs 14,000 crore for 5 Mhz of GSM spectrum on pan-India level which is  around 7 times more than the price of Rs 1,658 crore at which telecom companies were given pan-India permits between 2001 to 2008.     Comptroller and Auditor General has estimated that allotment of permits in 2008 at 2001 prices caused loss to government exchequer to the tune of around Rs 1,76,000 crore.     Out of eight companies whose licences were cancelled, only three companies — Idea Cellular, Videocon and  Telenor (majority stakeholder in Uninor) — have submitted bids for auction of airwaves frequencies.     These companies will have to win at least 5 Mhz of spectrum, divided in blocks of 1.25 Mhz each, to continuetheir services in areas where their licences were cancelled.     Telecom major Airtel and Vodafone are also participating in the auction to buy additional airwaves frequencies. These players can bid for maximum of two blocks in a telecom area.     Since there has been partial impact on permits of Idea Cellular, the company will need to bid for at least four blocks of spectrum, amounting to 5 Mhz of airwaves, in seven telecom circles to continue its operations.     These circles include Tamil Nadu (including Chennai), Kolkata, West Bengal, Orissa, Assam, North East and Jammu and Kashmir service areas. In rest of the circle, Idea Cellular can bid for maximum of 2 blocks only like Airtel and Vodafone.     Industry experts, however, are pessimistic over whether the auction can fetch government the Rs 40,000 crore target it seeks to achieve by selling spectrum.(Courtsey: Ganashakti)

Supreme Court stays all cases in High Court on 2G

10 Saturday Nov 2012

Posted by in 2G Scam Corruption

≈ Leave a comment

Tags

The Supreme Court on Friday stayed the proceedings on all petitions relating to the 2G spectrum allocation scam, pending before the Delhi High Court, on a CBI plea. “All proceedings pending before the Delhi High Court shall remain stayed,” said a bench of justices G.S. Singhvi and K.S. Radhakrishnan. In its plea, the CBI cited a Supreme Court order of April 11, 2011, which had directed that no court other than the Supreme Court shall entertain any application relating to the case. The court was informed that there were 20 petitions or applications pending before the High Court after the filing of the charge sheets in the 2G case. The bench issued notices and sought replies of various parties within six weeks on the CBI application. The Supreme Court had expressed its displeasure on November 8, 2012 that the Delhi High Court was hearing the matter relating to the 2G spectrum scam despite its order restraining courts below it from adjudicating issues linked to the case. “Despite injunction the Delhi High Court has entertained petition relating to the 2G spectrum case. It is very surprising on the part of the behaviour of the high court,” the court had said. CBI counsel K.K. Venugopal had said the bench can pass an order and stay such proceedings. The bench said an application can be filed by the CBI so that it can give a clear-cut order. “We will hear your application,” it had said. “We will make it clear that no court will entertain any petition (on the 2G case),” the bench had said after senior advocate Mukul Rohatgi, who is representing Essar Group in the case against them, sought clarification on the injunction. Mr. Rohatgi had said the legal right available to the affected parties cannot be taken away and one such right was to approach the High Court. He had said it was for Parliament to make or amend laws and the legal rights available cannot be denied. “We cannot say anything for Parliament to amend laws. Law making is in their domain,” the bench had observed. (Ganashakti )

Swiss Accounts – Exposure by IAC

10 Saturday Nov 2012

Posted by in Corruption

≈ Leave a comment

Tags

One of the most damning allegations against the UPA government had hit the target. It is about the Swiss Accounts of about 700 high ups and business tycoons, which has been kept under the carpet by the UPA government.  The UPA government might have thought that  the issue has gone in to oblivion as has been the case with many corruption charges.

Now Arvind Kejriwal  of India Against Corruption has exposed at least 10 names out of the 700, which includes Anil Ambani, Congress M.P. Ms Anu Tandon, Jet Airways chairman Naresh Goyal, Reliance Industries Ltd. etc. According to a 2006 CD  handed over to the government by the Swiss government,  all the names of the account holders in Swiss Bank were available, but on one pretext or other, the government did not release it. Now at least 10 names are out, which clearly shows the connection between a corrupt government and the big corporates and corrupt politicians.  The most dangerous side of this is  that this was felicitated by HSBC Bank,  through which it is alleged that hawala money is also involved which might have been used for anti-national and terrorist activities.

Now that the exposure has been made about the Swiss Accounts, what the government is going to do. What is the defence in addition to denial that the government is going to make?

Left, BJP and BSP boycot 2G JPC

11 Thursday Oct 2012

Posted by in Corruption

≈ Leave a comment

Tags

The Left, BJP and BSP members in the JPC enquiring 2G scam, boycotted the JPC protesting against the autocratic decisions of the JPC Chairman and not including the Finance Minister and Prime minister as witnesses in the 2G scam, as demanded by the members of the JPC.

This is a big blow to the government. Boycott of the Joint Parliamentary Committee is very rare. Though the members belong to different parties, usually they come to common understanding and submit their report accordingly. The planned and determined efforts of the chairman not to allow either witness or documents which may go against the government has brought the matters to this stage,

The Chairman, JPC should take an objective view and noy a subjective view in the matter and take necessary action so that the committee functions correctly.

CAG has power to examine efficiency,effectiveness and economy-SC

02 Tuesday Oct 2012

Posted by in Corruption

≈ Leave a comment

Tags

In a befitting reply to the severe criticism of the government and ministers on the report of the CAG on the allocation of coal blocks , the Supreme Court said that CAG has got constitutional powers to as per Article 19 of the Constitution, the 1971 Act and the Rules to “examine the efficiency, effectiveness and economy of the decisions. One should not forget that the CAG report is tabled in Parliament through the President. There is a full fledged mechanism to examine a CAG report and then debate in the Parliament. A constitutional office should not be confused with a traditional Munimji”. In short, the CAG can examine the policy also. He is not a simple old accountant.

A suitable reply to the critics of CAG.

‘Corporate houses pluck money from trees of central policies’ – Brinda

25 Tuesday Sep 2012

Posted by in Corruption

≈ Leave a comment

Tags

Money does not grow on trees  said  Prime Minister Manmohan Singh  in his recent televised speech, pointing out to the necessity of implementing anti-people reforms.

CPI(M) leader Brinda Karat  ridiculed the statement and stated that in fact that the  “Corporate houses are plucking money from trees of favourable central policies”.Yes, this is the real fact. But not only corporate houses, but corrupt politicians also.

Coalgate – CAG give evidence before PAC

22 Saturday Sep 2012

Posted by in Corruption

≈ Leave a comment

Tags

Shri Vinod Rai, CAG gave evidence today before the Parliament Accounts Committee (PAC) on its report on the Coal scam pointing out the loss to the exchequer. He fully justified the calculation of loss of 1.86 lakh crores to the government with documents and oral evidence. It is reported that the PAC had earlier asked the CAG to look in to the matter