A Raja(L) and Shahid Balwa(R)
Asif Balwa, the brother of Swan Telecom promoter Shahid Balwa, has been sent to 14-day judicial custody by a CBI court. He was arrested on Tuesday in connection with the 2G spectrum scam.
(Read: Who is Shahid Balwa?)Swan Telecom is one of the beneficiaries of the 2G scam. Shahid Balwa is already in custody in connection with the case. He was arrested by the CBI on February 8.
In 2008, when he was Telecom Minister, A Raja gave away valuable spectrum at throwaway prices to companies including Balwa's Swan Telecom. Balwa allegedly repaid Raja Rs 214 crore. Investigators believe the bribe was paid via a Mumbai company named Cineyug Films to Kalaignar TV.
Karunanidhi's daughter and DMK leader Kanimozhi and her stepmother Dayalu Ammal together own 80 per cent stake in Kalaignar TV. However, Kanimozhi and the management of the channel have both said that the money was a loan that was repaid with an interest of Rs 30 crore.
The spectrum allocation case led to the resignation of Telecom Minister A Raja. He was later arrested and is still in custody.