CAG pegs 2G spectrum loss at Rs 1.8 lakh crores

The Comptroller and Auditor General Vinod Rai submitted its report on the 2G spectrum matter, saying that non-auction of 2G spectrum in 2008 may have cost the exchequer up to Rs 1.40 lakh crores besides. An additional loss of over Rs 360bn was caused after the award of additional spectrum to the existing telecom players, says the CAG report. But, the Union Telecommunications Ministry moved the Supreme Court, disputing the CAG claim that Telecom Minister A. Raja caused massive losses to the Centre by awarding 2G licences at throw-away prices to new and existing operators in 2008.



The Telecom Minister followed the policy laid down by NDA government's Telecom Minister Pramod Mahajan, the Telecom Ministry said in an affidavit filed in the apex court. The Supreme Court will hear a Public Interest Litigation (PIL) on this issue on November 15. The affidavit stated that the Government auditor CAG did not have the authority to question the policy decision taken by Raja. The CAG report accuses Raja of ignoring the advice given by the Law and Finance ministries and that of the Prime Minister as well. But the affidavit gave account of communication between Raja and Prime Minister Dr. Manmohan Singh as well as other ministries.

Meanwhile, Telecom Minister A Raja ruled out resignation over the controversial issue, saying that he will prove that everything has been done according to the law. Also, DMK chief, M Karunanidhi strongly stood behind A Raja and virtually ruled out his resignation, saying that the telecom minister only went by the procedures followed by his predecessors. He also said there was no need for him to talk to the Congress over the issue.