CBI slammed by Supreme Court over alleged 2G scam

New Delhi: The Supreme Court virtually asked the Central Bureau of Investigation(CBI) to explain why he is still the Telecom Minister, given that he is the focus of a massive investigation. Then different Opposition parties rallied together, asking that he resign.

A Raja isn't about to oblige. "If necessary I can quit," said the Telecom Minister, "but where is the necessity?" 

The Supreme Court, however, seems to disagree. When told on Friday that the CBI needs another six months to investigate the 2G telecom scam, the court was blunt. "You haven't done anything... it's a slipshod investigation... the same Minister is continuing. Do you follow the same standards for everyone?" The judges asked.

Early in 2008, the Department of Telecom, with Raja as the minister, decided not to auction 2G spectrum. Instead, eight companies were given pan-India license for Rs. 1,658 crore each. Among them, real estate companies who quickly resold their licenses for massive profits.

The Opposition contends that the deal was a collusion between Raja and the companies who benefited from his first-come-first-serve policy. The government, they say, lost close to Rs 69,000 crore because the spectrum was not auctioned.

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"It's high time Raja resigned immediately. If he continues the case will not reach its logical conclusion and the PM should intervene," said the Left's Nilotpal Basu. 

The BJP channeled the Supreme Court's comments to back its persistent complaint - that the government uses the CBI as an extension to protect or target other leaders, depending on their affiliation. "The way the CBI has acted strangely in the 2G spectrum case, it shows the government is playing with the institutions which are supposed to uphold the spirit of the constitution," said BJP's Tarun Vijay.

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This year, the Comptroller and Auditor General (CAG) reported that the allotment reflected "favouritism" and had caused gigantic losses to the government. Raja's lawyers say that this was a draft report, and cannot be considered conclusive. 

The CBI began investigating the case late last year. The Supreme Court is hearing the case based on a Public Interest Litigation (PIL). In October last year, the CBI raided offices of the Department of Telecommunication in connection with the scam. Raja has consistently held the Cabinet was aware of his decisions on 2G.

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In May this year, the Prime Minister defended Raja stating that "What he did was implement a policy that was already in place." Raja is a key member of the DMK which is an ally of the UPA government. 

That's the x-factor, says the Opposition, in Raja's favour.   

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The Congress chose to keep its distance from the latest court developments. "We continue to have the highest regard and respect for the Supreme Court. If the court has made some observations I am sure the government will take cognizance," said party spokesperson Manish Tewari.

Less than a month ago, the CBI was pulled up by the Supreme Court for filing an FIR against unknown persons in the 2G scam. The judges asked if the CBI did not know who it was investigating.

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What is 2G scam?

• The 2G scam is alleged to be one of the biggest scams in India
• In 2008, Telecom Ministry is said to have given  away spectrum at a fraction of market price, causing a loss of Rs 69,000 crore to the national exchequer
• Telecom Ministry chose not to auction spectrum instead, it followed a "first-come-first-serve principle"
  
• Eight players were given pan-India licenses for Rs 1,658 crore each 
• Some of these companies later sold their licenses for massive profits