This Article is From Nov 16, 2010

2G scam: CAG report tabled in Lok Sabha

2G scam: CAG report tabled in Lok Sabha
New Delhi: The Comptroller and Auditor General (CAG) report on the 2G spectrum allocation is expected to be tabled in Parliament today. It indicts A Raja in the 2 G scam and stirred a major political storm forcing him to resign from the Telecom Minister's post. (Watch: Raja vs Opposition on his resignation) | The phone calls that led to Raja resigning)

The Performance Audit Report on the Issue of Licences and Allocation of 2G Spectrum by the Department of Telecommunications will be tabled in the Lok Sabha by Finance Minister Pranab Mukherjee, officials said. But as soon as the proceedings began, both Houses of Parliament were adjourned till 12 noon following uproar over the scam.

Presentation of the report is expected to provide fresh fodder to the Opposition which is not satisfied with Raja's resignation and is pressing for Joint Parliamentary Committee (JPC) probe to unearth the entire scam, a demand rejected by the government. (2G scam: Opposition chants 'we want JPC'; No, says Government)

The BJP and its allies as also the Left parties, AIADMK, SP and RJD are demanding that a JPC should examine the issue in the backdrop of reported contention by the CAG that the Telecom Ministry caused a loss to the tune of Rs 1.76 lakh crore to the national exchequer by allocating 2G spectrum at under-valued prices.

The government is desperately looking to end the deadlock over the scam in Parliament and has expressed readiness to discuss the CAG report after it is tabled. Pranab Mukherjee has also called a lunch meeting of all parties today in the hope of ending the impasse. Since the Winter Session began last week, the Opposition has refused to let Parliament function.

A Raja resigned as Telecom Minister on Sunday night after a glut of accusations over his alleged corruption and pivotal role in the 2G scam. By Monday evening, all formalities were complete with the President accepting his resignation.

Raja was forced towards the exit door of his ministry mainly by a report of the government's auditor that was leaked last week to the media. The Comptroller and Auditor General (CAG) was ferocious in its indictment of Raja, accusing him of costing the government close to Rs 1.76 lakh crore. Policies that violated official guidelines and favouritism towards companies that seemed ineligible for 2G licenses were attributed directly to Raja. Till 2008, he chose to award licenses at rates determined in 2001.

Raja has stressed that his resignation should not be misread as an admission of guilt. His party, the DMK, has also maintained that it stands by him and believes he is innocent.

Meanwhile, Kapil Sibal, Minister for Human Resources Development, has been given additional charge of the Telecom Ministry. But the DMK - which had till Sunday evening resisted Raja's exit - may not be entirely pleased with the Telecom portfolio not being assigned to another DMK leader. After Raja resigned, both the Congress and the DMK have stressed that their alliance remains intact, and that the DMK will continue to participate in the UPA government at the Centre.

WHAT IS THE 2G SCAM?

•    2G licenses issued in the year 2008 at 2001 prices
•    Raja insisted on 'first come-first served' policy
•    9 companies got licenses for nearly Rs. 10, 800 crore
•    Some firms sold partial stakes for much higher rates
•    CAG: Govt lost between Rs. 1.4 & 1.76 lakh crore
•    CAG: Raja ignored advice of Law, Finance ministries

(With PTI inputs)
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