Telecom operators may be let off without much trouble over missing out on their rollout obligations but those indicted by government audit watchdog, the Comptroller and Auditor General (CAG) for deliberately suppressing facts, disclosing incomplete information, submitting fictitious documents and having used fraudulent means for getting 2G spectrum in 2008 may face the real heat.
A calculated move by the government, it is initially looking at recovering the maximum it can from the operators against missing out on their rollout obligations and then act against those who got licenses despite being ineligible.
"The next step will definitely be against those operators, who adopted unfair, fraudulent means to get the spectrum in 2008. It is already being investigated and actions would follow thereafter. They could lose spectrum licenses," said a top official in the telecom ministry requesting anonymity.
Telecom minister Kapil Sibal on November 29 last year had categorically stated that if it is found that wrong information was given by the telecom firms to bag spectrum licenses in 2008, their licences would be cancelled.
Sibal had assured that the government will complete the investigation and ensure that action is taken against those companies that had manipulated and self-certified their financials and main line of business, specified in their memorandum of association, to get licenses for mobile telephony services.
Many telecom companies were not eligible to receive the 2G licenses granted in 2007 and 2008 and went through a self-certification process. The DoT issued notices to 85 companies in early December last year asking them why their licences should not be cancelled for suppressing facts. They have been given 60 days to respond.
"We expect to initiate action against ineligible operators who had bagged spectrum licenses soon after we get their response by February-end," said an official. In 2008, the government had distributed 122 new telecom licences to seven operators, besides 38 dual technology licences bundled with 4.4 MHz of start-up spectrum, at a seemingly undervalued price of Rs 1,651 crore for pan-India operations. This was opposed by the incumbent operators, some of whom quoted arbitrarily high prices for acquisition of spectrum.
Unitech-Uninor, Shipping Stop Dot Com (India) Private Limited (Later renamed Loop Telecom), Swan (merged with Etisalat DB Telecom), Sistema, Datacom Solutions (later changed to Videocon Telecommunications) are under the scanner for committing irregularities to procure the scarce 2G airwaves.
Courtesy: Mail Today
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