New Delhi:
Swan Telecom promoter Shahid Usman Balwa has been sent to Delhi's Tihar Jail. He will be in judicial custody till March 3. Balwa was arrested by the Central Bureau of Investigation (CBI) on February 8, in connection with 2G spectrum scam. (
Read: Who is Shahid Balwa?)
Swan Telecom, one of the beneficiaries of the 2G scam, is alleged to be a front company for Anil Ambani owned Reliance Communications.
CBI sources say it has evidence that former Telecom Minister A Raja gave Balwa an undervalued spectrum deal. In return, Balwa allegedly channelised kickbacks Raja got from the spectrum sale into the real estate.
In 2008, Balwa's Swan Telecom bagged 2G licences for 13 of the 22 circles across India, circles that included crucial Mumbai and Delhi areas, for a paltry Rs. 1,537 crore. Within months it sold 45% stake to UAE-based Etisalat for Rs. 4,500 crore.
Yesterday, A Raja was also sent to Delhi's Tihar Jail till March 3.