2G scam: ED close to filing charges against Unitech, A Raja, Balwa

The Enforcement Directorate is close to filing charges against Shahid Balwa of DB Realty, telecom major Unitech and former telecom minister A Raja in the 2G scam case, CNBC-TV18 reported today.

According to the ED, these companies were responsible for a massive loss to the exchequer.

Sources at the Enforcement Directorate told CNBC-TV18 that charges against DB Realty and Shahid Balwa relate to a Rs 200 crore investment to Kalaignar TV, while charges against Unitech relate to a $51 million UK bond investment. According to the sourves, a person close to A Raja is the benefical owener of UK bonds.

[caption id=“attachment_223758” align=“alignleft” width=“380”]  Shahid Balwa[/caption]

The ED has sought information from the UK to establish A Raja’s ownership.

Unitech had remitted $51 million to the Isle Of Man on 24 December, 2007.The transaction took place between December 2007 and January 2008, around the time Unitech was granted UASL licence by former telecom minister A Raja.

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Unitech Overseas Limited reportedly had initial capital of only 2000 (British currency) but received share application of $51 million (or 30 million) on December 24, 2007.

This money was used for purchase of derivative which later had zero value.

Unitech, however, has denied all charges and maintained that it has made no remittances in UK bonds.