Telecom minister rules out resignation over 2G row

Communications and IT Minister A Raja has ruled out the possibility of his resignation over the issue of 2G spectrum allocation. 

“The question does not arise at all. We will prove that everything has been done according to the law,” Raja told reporters today. 

The statement comes after the Opposition demanding Raja’s resignation over the issue of 2G spectrum allocation to new players in 2008, and a Comptroller and Auditor General (CAG) report, which has alleged that the allocation of 2G spectrum caused a loss of about Rs 1.76 lakh crore to the government. The report said the non-auction of 2G spectrum in 2008 might have cost the exchequer up to Rs 1.40 lakh crore, besides a hit of over Rs 36,000 crore on allocations of additional spectrum, beyond 6.2 MHz held, to existing players. 

In January 2008, the Department of Telecommunications (DoT) had issued new pan-Indian unified access service licences (UASL) to nine companies at a price of Rs 1,651 crore each, which was fixed in 2001. 

“The entire matter is sub judice. It may not be fair on my part to comment on this... Whatever I have done is according to the law,” Raja said. 

On the CAG report, Raja said the auditor had made similar harsh observations after the 1999 policy, under which the government moved to a revenue-sharing regime from a fixed licence-fee structure. “After that CAG report, there has been no change in the policy and the same policy is being followed since 1999, including by all my predecessors,” Raja said. 

“I have faith in the judiciary. The entire thing is before the judiciary,” he said. 

Yesterday, DoT had filed a counter-affidavit in the Supreme Court, saying the allocation of 2G spectrum in 2008 was done in line with the existing government policy and CAG did not have the authority to question the policy decision. Besides CAG, Central Bureau of Investigation is also investigating into the spectrum allocation process.