SANS Correspondent, November 30, 2010:
New Delhi: Under unrelenting pressure to act against corruption, the government on Monday swung into action. It said it would slap show-cause notices on 85 licence holders asking why their licences should not be cancelled for violating eligibility norms. It will also ask the ministry of corporate affairs to check if Swan Telecom acted as a front, as alleged by the Comptroller and Auditor General of India.
The companies facing show-cause include Uninor, Etisalat DB, Videocon, Loop Telecom and S Tel. If CAG's observation that they failed to meet the eligibility criteria is found to be correct, these players stand to lose their licence.
At a press conference, telecom minister Kapil Sibal listed action on four fronts: the show-cause notices, Swan's reference to MCA, notices to 119 licence holders who have not rolled out services, and proper calculation of the value of spectrum given to these companies to assess whether the country loses thousands of crores, as has been alleged.
In addition, in an apparent effort to blunt the Opposition's continuing demand for a JPC probe into 2G scam, the minister clarified that government was not averse to the SC monitoring the probe.
"As we function in a democratic set-up, we must ensure transparency in the functioning of the government and justice and equity in formulating and implementing policy. We have looked at the CAG report and Trai recommendations and we believe it is time we issued notices to those who may have suppressed facts to gain an undue advantage in the award of 2G licences", Sibal said.
Notices to 119 licence holders, including 38 who got the go-ahead in 2006, is aimed to financially penalize these players for not rolling out services as prescribed in licence agreement.
The companies facing show-cause include Uninor, Etisalat DB, Videocon, Loop Telecom and S Tel. If CAG's observation that they failed to meet the eligibility criteria is found to be correct, these players stand to lose their licence.
At a press conference, telecom minister Kapil Sibal listed action on four fronts: the show-cause notices, Swan's reference to MCA, notices to 119 licence holders who have not rolled out services, and proper calculation of the value of spectrum given to these companies to assess whether the country loses thousands of crores, as has been alleged.
In addition, in an apparent effort to blunt the Opposition's continuing demand for a JPC probe into 2G scam, the minister clarified that government was not averse to the SC monitoring the probe.
"As we function in a democratic set-up, we must ensure transparency in the functioning of the government and justice and equity in formulating and implementing policy. We have looked at the CAG report and Trai recommendations and we believe it is time we issued notices to those who may have suppressed facts to gain an undue advantage in the award of 2G licences", Sibal said.
Notices to 119 licence holders, including 38 who got the go-ahead in 2006, is aimed to financially penalize these players for not rolling out services as prescribed in licence agreement.
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