AG lets off Essar, Loop on one count

CBI planning to file chargesheet.

The Attorney General has said he is not opposing the observation of the Central Bureau of Investigation (CBI) that there was no involvement of public officials in any conspiracy with Loop Telecom or the Essar Group, with regard to the spectrum allocation controversy.

The AG has stated that as there was no difference of opinion on this issue between the CBI and the director (prosecution), there was no reason for him to give an opinion.

Under the CBI rules, in an important case if there is a difference between their director and the director (prosecution), the matter is referred to the AG.

However, the AG has no objection to the CBI opinion that there was criminal conspiracy on Loop, the applicant for spectrum, being a proxy for the Essar Group. CBI has charged Essar with violating Clause 8 of the department of telecom guidelines, which bar one licence-holder from having 10 per cent or more shareholding in another. It is now up to the CBI to take further action on the issue.

CBI officials had noted that DoT did not issue showcause notice for cancellation of Loop’s licence and probed if such an omission could have been on account of a conspiracy between Loop and certain public officials.

CBI is now planning to file a chargesheet against the Essar Group and Loop Telecom in this matter. According to senior CBI officials, the chargesheet is going to name the Khaitans, who own Loop, and the Ruias of the Essar Group.