How CBI pulled the rug under Raja on spectrum 'loss' issue

If Andimuthu Raja had any hopes of getting bail on the plea that his spectrum sales did not involve any losses, the Central Bureau of Investigation (CBI) has cleverly squashed all hopes in this regard. Reason: it has not used the revenue loss argument anywhere while framing charges against Raja and his other co-accused. Instead, the core of the CBI accusation is that Raja unduly favoured Unitech Wireless Ltd, Reliance Telecom and Swan Telecom. In short, even though the big ruckus at the Joint Parliamentary Committee or the Public Accounts Committee or the law ministry, the Telecom Regulatory Authority of India (Trai) or the Comptroller and Auditor General is the quantum of revenue loss from selling spectrum at 2001 prices, none of this confusion will help Raja. Kapil Sibal’s famous zero-loss statement will remain just that: theory with no impact on the culpability of Raja or business tycoons in the 2G scam. [caption id=“attachment_122436” align=“alignleft” width=“380” caption=“If Andimuthu Raja had any hopes of getting bail on the plea that his spectrum sales did not involve any losses, the CBI has cleverly squashed all hopes in this regard. AFP”]  [/caption] It was on hopes of cashing in on the zero-loss theory that Raja claimed in the trial court that since there was no loss, he should not be kept in jail. The CBI, however, sidestepped Raja’s ruse by framing charges that had nothing to do with losses. The key charges framed are: • Raja unduly favoured two ineligible companies – Unitech and Swan – through a conspiracy along with his officers to allocate them licences and spectrum. • Unitech and Swan sold off a part of their spectrum at a hefty premium even before they had rolled out services. Thus, Raja’s undue favour led them to earn Rs 7,105 crore through the sale. • Raja sold off spectrum at 2001 prices despite warnings from the Member, Telecom (Finance) Madhu Madhavan and Prime Minister Manmohan Singh. • Raja and Kanimozhi Karunanidhi were in regular touch to pursue pending works of Kalaignar TV. • Raja not only helped Kanimozhi register Kalaignar TV with the ministry of information and broadcasting, but also the Tata Sky bouquet of channels. • Kanimozhi was the “active brain” behind the operations of Kalaignar TV and thus the amount of Rs 200 crore paid by Dynamix Realty to Kalaignar TV through Kusegaon Fruits and Vegetables Pvt Ltd and Cineyug Films Pvt Ltd was not a genuine business transaction. It was illegal gratification in lieu of favours showered by Raja on Swan Telecom. • If the transaction of Rs 200 crore was in the nature of a loan, as claimed by Kanimozhi subsequently, it was a valuable thing for a consideration which is not known. Thus, the charges framed against all the accused go on to mention the minute details of the criminal conspiracy, cheating, fraud and criminal breach of trust, but the charges do not anywhere deal with the losses caused in selling 2G spectrum cheaply. Raja will thus have no reason to rake up the controversial  “loss’’ issue in his favour when the trial begins on 11 November. Read the order given by the designated CBI court when the charges were framed against A Raja, Kanimozhi and others. Order on 2G Charges