2G Scam: Supreme Court Quashes 122 Licences issued in 2008

[MOBILE FAN 42]

Can anybody throw light on which circle Idea has lost the licenses ?

[me_saket 73]

idea lost in following circle

[MOBILE FAN 42]

Details of 122 Licences.

• 
  
• 
  
• 
  
• 
  
• 
  
• 
  
• 
  
• Idea was granted nine licences in Assam, Jammu and Kashmir, Karnataka, Kolkata, Northeast, Orissa, Punjab, Tamil Nadu and West Bengal.
  
• Spice (Idea) was granted four licences in Andhra Pradesh, Delhi,Haryana and Maharashtra.
  

Does this mean Idea be affected in Maharashtra ? I am using it. Dont know what will be their game plan now. I ported from Vodafone to it some 2 months back because they offered amazing corporate plan.

[rajanmehta 4,056]

^ ^ ^

AFAIK Idea is operational in Maharashtra with it's own very old license, not through the additional Maharashtra license of Spice which was issued in 2008. Spice was acquired by Idea.

Idea in Maharashtra circle should not be affected by Supreme Court order cancelling 2008 licenses.

[inception 75]

Some readers on telecomtalk commented that Videocon sent sms to them that services will be continued.

I also using Videocon Kolkata for 1 month, but did not get any sms like that. May be Videocon will go for 6-7 circles - TN, Punjab, Mumbai, MH, Haryana, Gujarat, Kerala ??

Cheers has some subscribers in Delhi and Mumbai - may be they will stick to these 2 circles. There is high chance Etisalat will exit this venture and joins with Rcom.

Loop is contented with mumbai only,

Uninor and MTS are most fierce players on this upcoming 2G auction.

S Tel did not roll out 3G services, as far as I know Shiva Group is a reputed one, and they fought to get pan India license on 2G which they stopped after their services was shelved by TRAI for some time on security grounds. May be they will stick to only 3 circles where they have 3G spectrum.

Many people think AT&T, MTN and Orange will participate 2G auction, but my view is it is better to get 3G/4G spectrum and they might skip this one.

[kesav 127]

Somnath Chatterjee has exactly raised the same points which I've listed earlier.

(1) Judiciary cannot interfere in the policy matters( Prerogative of executive) under any pretext unless otherwise it infringes on fundamental rights of the citizens

In short, it's unconstitutional on the part of SC to rule FCFS as wrong policy and substitute with Auction. It's purely an executive matter.

(2) Even if we consider FCFS as wrong policy, then SC should have cancelled all licenses issued under FCFS right from 2001

(3) Simply nefarious to rush into the judgment and expecting lower court not to get influenced by this judgment when the same matters are running in the special court. What is the urgency (other than the "holy" retirement of A.K.Ganguly)?Why can't judges wait for the completion of trial in special court which is constituted for this special(2G) purpose?

Somnath on 2G: Can’t interfere with policy decisions

If the political establishment is shell-shocked by the 2G verdict that by the Supreme Court’s own admission addressed policy issues, few are saying so in public.

UPA leaders did not want to play with fire a day before another court decides if home minister P. Chidambaram should be investigated to establish if he had played any role in the telecom scandal.

BJP leaders familiar with the finer points of law expressed the fear in private that the verdict could have worrying consequences for the separation of powers.

Foreign investors sounded the alarm and analysts forecast investment worth billions could be lost. Cries of foul play also arose with some of the affected operators saying other players are trying to poach their |customers.

But few would speak out on the larger issues — barring Somnath Chatterjee, the former Lok Sabha Speaker who had repeatedly spoken out against judicial activism if it threatened to undermine the legislature and the executive.

Chatterjee, who is also a lawyer, said in response to a question that the Supreme Court could not interfere with the policy decisions, not even in the name of public interest.

“Trying to appropriate executive powers can be very tempting. Well, the Supreme Court is supreme. But it cannot interfere with executive policies and decisions, even by justifying that larger public interest is involved. It has to be kept in mind that nobody is above the Constitution,’’ Chatterjee told The Telegraph from his Santiniketan residence this afternoon.

“Unfortunately, such things are happening these days. I cannot support it,’’ the former Speaker added.

(On Saturday, Chatterjee conveyed to The Telegraph that an earlier version of this article had given rise to a wrong impression. The former Lok Sabha Speaker said he had not said the Supreme Court could not interfere in executive decisions. What he said was confined to policy decisions and he had pointed out that court itself has held that it will not interfere ordinarily with government’s policy decisions nor will it substitute such policy with a policy formulated by the court.)

The two-judge bench had yesterday cited public interest and larger public good to justify its intervention while conceding that it had been held the court should not “ordinarily interfere with the policy decisions of the government in financial matters”.

The court had also said that when “it is clearly demonstrated that the policy framed by the state… is contrary to public interest or is violative of the constitutional principles, it is the duty of the court to exercise its jurisdiction in larger public interest”.

According to Chatterjee, the court’s position raises the question why spectrum licences issued between 2003 and 2008 when the public interest litigation was filed were not cancelled. The 122 licences cancelled yesterday were issued in 2008.

“Since 2003, licences were issued on a first-come-first served basis. If the apex court is so concerned about public interest, why didn’t it cancel those licences? Why did it act only against those who got them when Raja was telecom minister? If natural resources were being wasted then, why didn’t the Supreme Court take cognisance of that?’’ asked Chatterjee.

According to the judgment, senior counsel Harish Salve had contended that all licences should be cancelled if the court found that the process violated institutional integrity. But the court did not accept the argument, saying that “those who have got licence between 2001 and 24.9.2007 are not parties to these petitions and legality of the licences granted to them has not been questioned before this court”.

Chatterjee, however, said: “During the NDA government’s rule, the same first-come-first served policy was used. There was no auction… only selection. But not a single voice was heard….”

The former Speaker also raised doubts about the Supreme Court’s assertion that its verdict would not influence the ongoing 2G trial in a special court. “This spectrum matter is pending before a CBI court. But the SC is saying its ruling will have no impact on the outcome of the CBI court’s verdict. How can that happen? I have my doubts,’’ he said.

Chatterjee wondered whether courts had similarly gone beyond their jurisdiction when a ruling was issued to determine the age at which schools can admit children.

“I don’t know what special qualifications a judge can have to decide what should be the correct age for admitting children to schools… whether it’s three or three and a half. But we are witnessing such things. Can the Supreme Court or high court interfere in this regard? I find their intervention in executive decisions unnecessary,’’ Chatterjee added.

source:: http://www.telegraph...ry_15091222.jsp

I feel it's better in the national interest that Chief Justice interfere and put this Judgment on hold or the govt immediately initiates the review petition to save the natural justice.

Edited February 6, 2012 by kesav

[kshah 452]

Somnath has since long objections with SC for being imposing law on bl@@@@dy politicians.

Sent from my MB855 using Tapatalk

[csmart 472]

Uninor will bid for 2G but at the same time also considering moving out. they are looking forward to the 2G base price and if its too high they will quit India. Economic Times

[rajanmehta 4,056]

This is interesting. Just an inadvertent error OR something more than meets the eye?

Papers on Supreme Court Order Created Confusion

Source

A paper was circulated two hours before the release of the official judgment copy

Mystery still shrouds over the circulation of a document purported to be the judgment of the Supreme Court in the 2G spectrum case delivered by a two-judge bench last Thursday. The document was circulated about two hours prior to the release of the official copy of the judgment, but it differed from the official copy, confusing those who anxiously followed the developments.

According to the official copy of the judgment uploaded about 5 pm that day, the SC direction quashing 122 licences shall become operative after four months. It further says that keeping in view the decision taken by the Central government in 2011, the Telecom Regulatory Authority of India “shall make fresh recommendations for grant of licence and allocation of spectrum in the 2G band in 22 service areas by auction, as was done for allocation of spectrum in 3G band.” No deadline was set by for this operation by the bench consisting of Justice G S Singhvi and Justice A K Ganguly (now retired).

However, the early-bird document circulated to the media and the government around 3 pm stated that the operation should be done by Trai within two months. According to this document, “within two months, Trai shall make fresh recommendations for grant of licence and allocation of spectrum in 2G band areas through auction as was done for allocation of spectrum in 3G band.” It added that the Central government should decide on these recommendations “within the next one month.”

The official copy of the judgment on the Supreme Court website does not carry this direction. This had confused the media, which went by the first document setting the deadline. Some of them later corrected their version after reading the authoritative copy. Telecom Minister Kapil Sibal also spoke at a press conference in the afternoon even before the official copy was uploaded on the Supreme Court website. Trai officials also reacted to the judgment before reading the official version, creating confusion of ideas.

There were other discrepancies too. The official copy said those whose licences were cancelled shall deposit “within four months, 50 per cent of the cost with the Supreme Court Legal Services Committee to be used to provide legal aid to poor and indigent litigants. The remaining 50 per cent cost shall be deposited in the funds created for Resettlement and Welfare Schemes of the defence ministry.”

On the other hand, the document given out by the petitioner’s office, Centre for Public Interest Litigation led by lawyer Prashant Bhushan, said that the cost imposed on the erring telecom firms should be deposited elsewhere. Its version was that 50 per cent of the cost shall be deposited with the Supreme Court Legal Services Committee to be used for providing legal aid to indigent litigants. The remaining 50 per cent cost shall be deposited in the Prime Minister’s Relief Fund.”

Another mystery is that the unofficial copy did not carry the date of the judgment. The official one follows the norm and puts the date as February 02, 2012. Moreover, the unofficial document circulated earlier had only 74 numbered paragraphs while the official version had 81 numbered paragraphs.

Old timers are not shocked by these shenanigans occurring in high-voltage cases. Copies of judgments have popped up in the law ministry and official press briefings even before the court released its official version. The difference this time is that the two versions do not tally in all respects.

[Karthik R 246]

Bahrain Telecom (BATELCO), a shareholder in new operator STel whose licences have been cancelled by the Supreme Court last week, became the first global firm to exit the Indian telecom market by selling its nearly 43% stake for USD 175 million.

Reacting to the development, STel said Bahrain Telecom (Batelco) was "very uneasy" in India and expressed the wish to sell its stake. "The telecom sector, particularly for the new operators, over the last two years has become like a badly-planned hurdle race," an STel spokesperson said.

VIA :

Moneycontrol

[rajanmehta 4,056]

Etisalat To Shut Down its Operations in India

Source

Abu Dhabi-based Etisalat on Wednesday said it will shut down its operations in India following Supreme Court cancelling its telecom license.

"As unanimously resolved by the Board this evening, Etisalat DB will be taking steps to reduce operating costs, including the suspension of its network and services, pursuant to the terms of its UAS licenses," the company said in an e-mailed statement.

Etisalat is the second foreign company, after Bahrain Telecom, to exit India, following the apex court ruling of February 2.

"The decision has been taken in order to protect the interests of all stakeholders and to avoid incurring further costs at this time of rapid change and continued uncertainty in the Indian telecommunications sector," Etisalat said.

Etisalat had 1.67 million subscriber across 15 circles. On February 9, Emirates Telecommunications Corp (Etisalat) had written off about USD 820 million worth value of its Indian operations by way of an impairment charge as an after effect of Supreme Court order.

Anil Ambani Group firm Reliance Infratel had sought Rs 1,200 crore from Etisalat DB in rental for telecom towers the company had used for its operations.

"Further information, including the official cessation date will be communicated shortly to EDB's customers through the appropriate channels," the statement added.

[me_saket 73]

http://zeenews.india.com/business/companies/loop-seeks-refund-of-license-fee-along-with-interest_42718.html

Loop seeks refund of license fee along with interest

New Delhi: Loop Telecom, one of the several firms whose licence was cancelled by the Supreme Court early this month, has written to Prime Minister Manmohan Singh saying it will surrender the licence if the government refunds Rs 1,454 crore fee along with interest.

The company while seeking to highlight that interests of Indian companies too should be protected along with foreign firms', made the proposal to avoid litigation.

"We will surrender the licence, against the DoT making a refund of licence fee of Rs 1,454 crore with interest. All our performance and financial bank guarantees may be released," Managing Director and CEO Sandip Basu wrote to the Prime Minister on February 17.

He said Loop Telecom has made investment in excess of 3,500 crore in its business.

Holding the government responsible for cancellation of licence by the apex court, Basu said that Loop Telecom is entitled to refund of licence fee of Rs 1,454 crore,

compensation for additional investment already made till date (approximately Rs 2,000 crore) and compensation for loss of profits and damages of reputation.

Basu, however, said that Loop Telecom will not file a review petition or take any other proceedings for challenging the judgement of the Supreme Court that cancelled its licences.

He added that it will not seek any compensation of Rs 2,000 crore already made, damages on account of wrongful actions of the government/DoT.

"DoT and us would agree that neither party has any claim against each other and withdraw all allegations and counter allegations against each other. The Government/DoT would cooperate in filing a petition before the appropriate court for closing the criminal case," Basu said.

He has asked PM to take decision on his proposals before end of time limit for filing review petition.

"Since the limitation for filing the review petition is 30 days, a decision would be required prior to the end of the limitation period," Basu said.

Loop Telecom CEO said that government should protect investment made by Indians along in the same manner in which it is trying to protect investment made by foreign companies.

"We understand that the Government of India is considering to evolve a policy to protect the investments of the international investors...

"While this effort is required ... it also has to be ensured that a policy which is evolved by the Government is not only protecting the investments of foreign investors but also those of the Indian investors who have also invested under the very same government policy," Basu said.

The Supreme Court judgement that cancelled 122 2G licences included 21 licences that were allotted to company in 2008.

Loop Telecom had submitted to Apex Court on March 9, 2011 that it was not interested in profiteering from mispriced allocation of spectrum and had offered to return licenses issued and re-auctioned so as to establish a fair market price for the spectrum.

[csmart 472]

Telenor issues notice to govt, seeks $14billion damages through arbitration..

Telenor seeks arbitration, claims damages of $14bn from govt in 2G case

Source

Siddharth, TNN | Mar 27, 2012, 01.07AM IST

NEW DELHI: Norwegian telecom operator Telenor, which faces the prospects of its Indian joint venture losing 22 2G mobile licences due to the

Supreme Court

order, on Monday served a notice on the government, threatening international arbitration and claiming damages of nearly $14 billion (around Rs 70,000 crore).

Telenor invoked the provisions of India's Comprehensive Economic Cooperation Agreement (CECA) with Singapore to slap a notice seeking a solution from the government within six months or drag the matter for an international arbitration for failure to protect its investment.

"The cancellation of licences, and the resultant loss of investments made by Telenor Asia Pte Ltd constitute a breach of India's obligation under the CCEA. It is also possible that there could be a further breach of CCEA from the manner in which these licences are now redistributed through auctions," Telenor said in its notice, which was sent to the Prime Minister's Office, the telecom department and the corporate affairs ministry.

Telenor, which holds a 67% stake in Unitech Wireless, is engaged in a separate legal battle with its Indian partner Unitech, and has made public its decision to begin its hunt for another local ally. The Norwegian firm entered the Indian market through its Singapore arm.

In its notice, the telecom firm said that it invested in India based on licences issued by the government "in accordance with their own policy and process" and cited approvals from the Foreign Investment Promotion Board and the Cabinet Committee on Economic Affairs (CCEA) to argue that it had complied with the laid down procedure. "Despite having no role to play either in the policy or in the process through with these licences were awarded, Telenor stands to lose its entire investment made in India," it said.

For the government this is the second such notice after Sistema invoked the provisions of the India-Russia Investment Agreement a few weeks ago. Telenor's notice coincides with Russian president Dmitri Medvadev's India visit this week where he is expected to broach the Sistema notice with Prime Minister Manmohan Singh.

"We can confirm that we informed the government of India of our intent to invoke the provisions of the CECA between India and Singapore. We are hopeful that it remains the government's intent to protect and encourage bona fide foreign investment in the country. We are convinced that we can resolve this matter through continuing dialogue with the government such thatTelenor Group remains a serious and long term participant in the Indian market that brings the benefit of competition to the Indian consumers," a Telenor Group spokesperson said in response to a questionnaire from TOI.

Citing clauses of the CCEA, the notice said that the compensation has to be equivalent to the market value of the expropriated investment at the time of the decision, which in case of Unitech Wireless is February 2, the day when the Supreme Court cancelled 122 licences issued during ex-telecom minister A Raja's term. Till then Telenor claims to have invested close to $14 billion in its Indian operations.

[rajanmehta 4,056]

Supreme Court Rejects 2G Operators’ Review Petition

Source

The Supreme Court on Wednesday rejected review petitions filed by 2G firms whose licences it had earlier cancelled.

All eyes would now be on April 13, when the apex court is due to hear the Government's petition filed to review the order on allocation of natural resources through the first-come-first-served (FCFS) route. This hearing will take place in open court, as against Judges chambers where a majority of review petitions tend to be dismissed.

Today's decision comes as a big blow to all the 2G firms whose licences were quashed by the court in February. These companies, which were hoping for some reprieve, would now have to either buy back spectrum through auction or exit completely. Some such as Telenor and Sistema have also invoked bilateral investment treaties to protect their investments.

Seven operators including Videocon, STel, Idea Cellular, Tata Teleservices, Unitech Wireless, Sistema Shyam and Etisalat DB had filed separate petitions.

Dismissing the operators' pleas a bench comprising Mr Justice G.S. Singhvi and Mr Justice K.S. Radhakrishnan said its earlier judgment does not suffer from any error warranting its re-consideration. In February, the court had delivered a land mark ruling cancelling 122 licences on grounds of illegality.

The court had also ruled that the FCFS policy was flawed.

In its review petition the Government had not questioned the cancellation of licences but contended that it was wrong on Supreme Court's part to ‘engage' in policy making. It said that policy lies with the executive, even according to earlier court rulings.

In addition, the petition said that the judgment erred in holding that a public auction is the only fair and transparent method by which the State can distribute natural resources. The judgment erred in finding that the FCFS policy involves ‘an element of pure chance or accident', without considering that there is a risk that any policy, including sale by public auction, may be wrongfully implemented, the petition claimed.

The Government had separately filed a clarificatory petition seeking more time to conduct fresh 2G spectrum auctions. The court had directed in February that the auction process should be completed within four months but the Government wanted 400 days.

This petition has so far not been listed by the court for consideration.

[rajanmehta 4,056]

2G: Grant New Licences By August 31, Supreme Court Tells Centre

Source

NEW DELHI: The Supreme Court Tuesday gave the central government three more months till August 31 to fulfil all requirements and auction 122 2G licences which were cancelled by it in February this year.

The apex court bench of Justice GS Singhvi and Justice KS Radhakrishnan, while extending the time by three months, observed that the government was aware that something was wrong or this could have been avoided if a little effort was made.

While granting three months more to the government for auctioning potential 2G licenses, the court gave time till September 7 to all the service operators whose licenses have been cancelled to continue providing services.

The apex court by its February 2, 2012, order had cancelled all the 122 licenses that were granted by former telecom minister A Raja on and after January 10, 2008.

The court had said that all these licenses should be allocated after carrying out their auction. The court had given the government four months' time till June 2 to complete the process of auctioning the cancelled licenses. This was also the date when the licenses that were cancelled were to be terminated.

However, the government cited procedural difficulties and sought 400 days' time to complete the process of auctioning the cancelled 2G licenses. The court did not accept the government's plea and gave it three months' additional time to comply with its directions.

[csmart 472]

2G case: A Raja gets bail, to walk out of Tihar after 15 months; DMK happy

Source: HT

Former communications minister A Raja, who has been in jail since February last year, was on Tuesday granted bail in the 2G spectrum allocation case. Raja, the last of the 14 individuals charged in the case still in prison, was given bail by Central Bureau of Investigation (CBI) special judge OP Saini.

The announcement that Raja, who has been behind bars in the capital's Tihar Jail, triggered wild slogan shouting and cheering by his DMK supporters, mainly from Tamil Nadu, who raised slogans in Tamil like: "Raja, vazhga!" (long live Raja!)

The DMK also expressed confidence that he would come out clean. Besides the 14 individuals, three companies were also charged in the case related to 2G spectrum licences allocated during his tenure as communications minister.

"We are happy. Getting bail is part of the legal process. We are confident that Raja will come out clean in the whole episode," DMK spokesperson TKS. Elangovan said.

Giving details of what had transpired, Raja's counsel told reporters that the judge called Raja towards him and told him: "Your bail application is allowed."

"Raja had not moved bail until all other 13 were granted bail," he added. "Now all the accused are on bail. The case will go on."

The counsel pointed out that Raja had got bail despite the CBI's opposition.

The CBI had opposed Raja's bail application, saying he faced charges of accepting bribes of Rs. 200 crore, which makes his case different from former telecom secretary Siddharth Behura, who was granted bail by the Supreme Court last week.

Raja, in his bail application, has requested the court to release him on the ground of parity.

The agency said that important prosecution witnesses of department of telecommunications and other private people, especially connected to alleged bribe transaction of Rs. 200 crore from DB Group companies to Kalaignar TV, are yet to be examined.

It told the court that if the accused was released on bail at this crucial stage of trial, then he may influence the vital witness as some of them belong to Tamil Nadu.

Raja resigned as minister Nov 14, 2010 in the wake of the Comptroller and Auditor General reporting that his 2008 decision to allocate 2G spectrum on a first-come-first-served basis had caused the exchequer a presumptive loss of Rs. 1.76 lakh crore. The CBI arrested him Feb 2, 2011.

The Supreme Court in February cancelled 122 spectrum licences allocated during Raja's tenure. It also ruled that all natural resources should be allocated through an auction, which the government is now preparing to do in the case of the cancelled licences.

Charges against the accused:

A Raja: Criminal breach of trust by public servant, receipt of bribe, forgery and cheating. - Siddharth Behura: Criminal breach of trust by public servant, receipt

of bribe, forgery and cheating.

RK Chandolia: Criminal breach of trust by public servant, receipt of bribe, forgery and cheating.

CBI officials carry the 2G spectrum case charge sheet to a court in New Delhi. (Reuters)

Kanimozhi: Charged under Prevention of Coruption Act and punishment under criminal conspiracy.

Shahid Usman Balwa: Cheating with criminal conspiracy, presenting false evidence, and also charged under the Prevention of Coruption Act with punishment as for criminal conspiracy.

Vinod Goenka: Cheating with criminal conspiracy, presenting false evidence, and also charged under the Prevention of Coruption Act with punishment as for criminal conspiracy.

Rajeev Aggarwal: Presenting false evidence with punishment as for criminal conspiracy.

Sanjay Chandra: Cheating with criminal conspiracy.

Gautam Doshi, Surendra Pipara and Hari Nair: Abetment and cheating in criminal conspiracy.

Asif Balwa: Presenting false evidence, also charged under the Prevention of Coruption Act with punishment under criminal conspiracy.

Karim Morani: Presenting false evidence, and also charged under the Prevention of Corruption Act with punishment as for criminal conspiracy.

Sharad Kumar: Presenting false evidence, and also charged under the Prevention of Coruption Act with punishment as for criminal conspiracy

[city02 63]

a majority of the companies whose licenses were cancelled did nothing wrong except follow the govt process at the time.

the SC made bad case law by cancelling without refund of fees and interest lost.

the govt did not suffer at all due to its bad policies [jailing of some politicians is not the same as reimbursing financial losses]

only companies and customers get shafted

as usual principles of natural justice violated

we are like this only

3rd world = 3rd class mindset too

india is becoming a joke abroad

and we still dream of a permanent seat on the UN SC [not in this century at this rate]

china is more foreign investor friendly and double the market size of us

no one will need to invest here anymore after the vodafone tax dispute

can anyone hear the sound of us become irrelevant internationally?

[csmart 472]

^^^ i beg to differ. The foreign companies were well aware that their Indian partner had fraudulently got the spectrum. They were of the opinion that like previous frauds, this too will not do any harm to them. Look at Etisalat, it paid millions to for just one share. Telenor and others invested but in tainted company. So they are paying for their own mistake.

Even for Vodafone, UK also introduced retrospective tax and nobody is crying out. In India, they are against it as amount involve is too much. BTW, Vodafone has also offer to settle the matter.

Why should India become a joke? It is problem of govt and also us that we are not highlighting the corruption involve. If this had happen in any western country, the same company would have apologised and have paid penalty. But since it is India, they know they can say whatever they want.

I agree that China is way ahead. But then Chinese are law abiding citizens and corruption is not there at low level. In China, govt gives you many benefits and then ask for what you will give in return. In India, first babus will ask what they will get and then babus will decide what they get.

Edited May 16, 2012 by csmart

[rajanmehta 4,056]

It will be sad if MTS pulls out from India...

Sistema To Pull Out From India if Trai Proposals Accepted

SourceSource

Russian conglomerate Sistema on Tuesday warned that it will pull out of India if telecom regulator Trai's proposals on spectrum auction are accepted by the government in their present form, saying the base price for air wave auction should be kept at Rs 1,658 crore.

"If the government just rubber stamps everything (recommended by Telecon Regulatory Authority of India) then we will pull out from India," Sistema JSFC's Member of Executive Board Andrey Terebenin told PTI.

Sistema JSFC is the majority stakeholder in Sistema Shyam Teleservices (SSTL) which operates under brand MTS brand name in India.

Trai has recommended a base price of Rs 3,622 crore per megahertz (MHz) pan-India spectrum for 1800 Mhz band, which is almost 10 times higher than the price at which 2G licences bundled with 4.4 MHz spectrum were allocated in 2008 by then Telecom Minister A Raja.

The regulator has said that the government can fix a base or reserve price for spectrum in 800 Mhz band at 1.3 times the 1800 MHz reserve price. MTS is a CDMA operator and uses spectrum in 800 Mhz band.

"The reserve price should back the business model. Keep the same price same at which we entered... around Rs 1,658 crore. Let market decide the final price," he added said.

He said that Sistema has been pumping money in India for investment locally and hence government need to take callwhether it want 'quick money' in short term or achieve goal of providing access of telecom service to people in India at affordable price in the long run. "It is not a technical issue. Indian government needs to take socio-economic/ political call on the whole issue," he said.

Terebenin said the government should not treat telecom as a "cash cow" and use the sector to raise revenue. "The government should announce what its policy is on the sector and it should come with a political statement. You cannot change the rules of the game and say 'we are not playing basketball now but we are playing water polo'," he told TOI.

He then went on to suggest that spectrum should be auctioned with a reserve price of Rs 1,650 crore, compared to Rs 23,500 crore proposed for CDMA operators such as Shyam Sistema.

[coolblue 10]

a majority of the companies whose licenses were cancelled did nothing wrong except follow the govt process at the time.

the SC made bad case law by cancelling without refund of fees and interest lost.

the govt did not suffer at all due to its bad policies [jailing of some politicians is not the same as reimbursing financial losses]

only companies and customers get shafted

as usual principles of natural justice violated

we are like this only

3rd world = 3rd class mindset too

india is becoming a joke abroad

and we still dream of a permanent seat on the UN SC [not in this century at this rate]

china is more foreign investor friendly and double the market size of us

no one will need to invest here anymore after the vodafone tax dispute

can anyone hear the sound of us become irrelevant internationally?

We are going back towards a socialist economy. I dont understand it has been more that 20 years and Jessica Lal murder case is still not resolved. 2g spectrum case is on verge of being closed in just two years, culprits being freed, Telecom companies and consumers will suffer. Policy making is supposed to be done any by parliament and I dont know why is the judiciary is interfering in that.

[drmadhu 87]

Hindustani me kitanebhi scam karo kuchh nahi hoga.

[rajanmehta 4,056]

Govt. Plans To Ask All Existing Telcos To Pay Market Rate For Old 2G Spectrum Held By Them

Source

NEW DELHI: The government plans to ask all mobile phone companies to pay auction-discovered price for the 2G spectrum they hold for the remaining period of their licences, as it seeks to create a level playing field, said a top telecom ministry official.

The move will send shockwaves among existing operators as back-of-the-envelope calculations suggest these companies will have to shell out several thousands of crores if the Cabinet approves the policy change proposed by the communications ministry.

The DoT will present a note to the Cabinet on this issue next week, said the official. "Telecom companies that lost permits following the Supreme Court order must pay a minimum of Rs 3,622 crore for every unit of 2G airwaves in the upcoming auctions if the telecom regulator's pricing is accepted by the Empowered Group of Ministers. But the operators whose permits were not quashed have not been subject to any market-determined fee for the airwaves they currently hold.

The method we are proposing will ensure all operators pay the same price for airwaves," the official added. This official further said incumbents such as Bharti, Vodafone and Idea, and dual-technology players such as Reliance Communications and Tata Teleservices could pay the auction-determined price for the entire spectrum they have in the 1800 MHz band and extend the validity of their licences by 20 years.

TRAI Told to Study Impact

"But this is not applicable to the 2G spectrum held by incumbents in the 900 MHz band. Here, they have to pay the auction-determined price only for the remaining tenure of the licence. This band will be refarmed (redistributed to all companies through an auction process) when mobile permits come up for renewal beginning 2014," said the official.

Incumbents such as Bharti, Vodafone and Idea hold 2G spectrum in the 1800 MHz band in more than half the country. In the remaining regions, these companies have airwaves in the 900 MHz band. All 2G airwaves held by Reliance Communications and Tata Teleservices are in the 1800 MHz band.

The DoT has asked the Telecom Regulatory Authority of India to study the impact this proposal will have on tariffs. This is part of the seven-point reference made by the department to TRAI on Tuesday.

Last week, the Telecom Commission, the highest decision-making body of the communications ministry, failed to reach a verdict on the reserve price recommended by TRAI.

The commission decided to ask the Empowered Group of Ministers on spectrum auction, headed by Finance Minister Pranab Mukherjee, to fix the reserve price.

It also decided to ask TRAI do a cost analysis of the impact its spectrum-pricing proposals will have on customers, companies and the government's revenues, and present it to the panel of ministers so they can take a decision, Telecom Secretary R Chandrasekhar had told ET.

[kshah 452]

AIR WAVE SPECTRUM HAS BECAME REALITY OF SHEIKH CHILLI'S STORY

तालाब का पानी घी बन जाये और पेड़ के पते रोटी बनजाये, उसे मियां दूबों दूबों के खाए

[rajanmehta 4,056]

तालाब का पानी घी बन जाये और पेड़ के पते रोटी बनजाये, उसे मियां दूबों दूबों के खाए

When Lawyers and so called Economists rule instead of Asli NETA, that's the only thing you can expect.

[Guru Gopal 589]

Sorry Rajan, Lawyers and judges cannot rule in my opinion. The Courts in India cannot encroach the powers of legislature, it can only judge the enactments made by the legislature(parlament and assembly) and decessions made by the Excutives(IAS or Ministers) is correct or not. The court cannot enact a law.