A special CBI court has acquitted all accused, including A Raja and Kanimozhi, in the 2G spectrum scam case, saying “quality of prosecution totally deteriorated and it became directionless and diffident”.
Bouyed by the verdict, the DMK and the Congress say the entire case was a “massive conspiracy” and “propaganda”. Former UPA ministers Kapil Sibal, Manish Tewari and Veerappa Moily say former CAG Vinod Rai — who had pegged the loss to the exchequer at Rs 1.76 lakh crore — should be held accountable now.
In her first reaction after being acquitted, Kanimozhi told CNN-News18 that “justice has prevailed”. Former telecom minister A Raja said he’ll first read the verdict “like a good lawyer and then comment”.
Special CBI judge OP Saini said the prosecution has failed to prove their guilt beyond reasonable doubt. BJP leader Subramanian Swamy, a private complainant in the case, wants the CBI to appeal against the acquittals in High Court.
The trial in 2G spectrum scam started six years ago in 2011 after the court had framed charges against 17 accused in the CBI case for offences that entailed punishment ranging from six months to life imprisonment. One of the cases in which judgement is likely to be delivered on Thursday involves Essar Group promoters Ravi Kant Ruia and Anshuman Ruia, Loop Telecom promoters Kiran Khaitan, her husband I P Khaitan and Essar Group Director (Strategy and Planning) Vikash Saraf as accused.
In the first case filed by the CBI, Raja and Kanimozhi are facing trial along with former telecom secretary Siddharth Behura, Raja's erstwhile private secretary RK Chandolia, Swan Telecom promoters Shahid Usman Balwa and Vinod Goenka, Unitech Ltd MD Sanjay Chandra and three top executives of Reliance Anil Dhirubhai Ambani Group (RADAG) — Gautam Doshi, Surendra Pipara and Hari Nair.
Directors of Kusegaon Fruits and Vegetables Pvt Ltd Asif Balwa and Rajiv Agarwal, Kalaignar TV director Sharad Kumar and Bollywood producer Karim Morani are also accused in it.
Besides them, three telecom firms — Swan Telecom Pvt Ltd (STPL), Reliance Telecom Ltd and Unitech Wireless (Tamil Nadu) Ltd — are also accused in the case.
All the accused facing trial in these cases have denied the allegations levelled against them by the CBI and the ED.
The court had in October 2011 framed charges against them under various provisions of the IPC and the Prevention of Corruption Act dealing with offences of criminal conspiracy, cheating, forgery, using as genuine fake documents, abusing official position, criminal misconduct by public servant and taking bribe.
In its charge sheet filed in April 2011 against Raja and others, CBI had alleged that there was a loss of Rs 30,984 crore to the exchequer in allocation of 122 licences for 2G spectrum which were scrapped by the Supreme Court on 2 February, 2012.
In the case involving promoters of Essar Group, Loop Telecom and Saraf, three companies — Loop Telecom Ltd, Loop Mobile India Ltd and Essar Tele Holding Ltd (ETHL) — were also named by the CBI in its charge sheet.
While the court had charged them with the offence under section 120 B (criminal conspiracy) read with section 420 (cheating) of IPC, substantial charge of cheating was made out against Saraf.
The CBI had named them in its charge sheet on 12 December, 2011, alleging they had cheated the Department of Telecommunication by using Loop Telecom as a "front" to secure 2G licences in 2008.
Later, the Enforcement Directorate (ED) had filed a charge sheet against Raja, Kanimozhi and others for alleged offence of money laundering.
The ED had listed 19 accused in its charge sheet in April 2014, including Raja, Kanimozhi, Shahid Balwa, Vinod Goenka, Asif Balwa, Rajiv Aggarwal, Karim Morani, P Amirtham and Sharad Kumar in connection with the case.
In its charge sheet, the ED had also named DMK supremo M Karunanidhi's wife Dayalu Ammal as an accused in the case in which it had alleged that Rs 200 crore was paid by STPL promoters to DMK-run Kalaignar TV.
In its final report, the ED had named 10 individuals and nine companies as accused and listed them in the charge sheet for the offences under the Prevention of Money Laundering Act.
Besides Kalaignar TV, the other companies accused in the case are STPL (now Etisalat DB Telecom (P) Ltd), Kusegaon Realty (P) Ltd, Cineyug Media & Entertainment (P) Ltd, Dynamix Realty, Eversmile Construction Company (P) Ltd, Conwood Construction & Developers (P) Ltd, DB Realty Ltd and Mystical Construction (P) Ltd (earlier known as Nihar Constructions (P) Ltd).
Published Date: Dec 21, 2017 01:07 pm | Updated Date: Dec 21, 2017 01:09 pm
Highlights
Stalin says historic verdict has been delivered
DMK Working President MK Stalin describes the 2G verdict as "historic". "A historic verdict has been delivered," says Stalin. Recalling that the case was filed in 2009, he says it was a "planned (attempt) to insult and finish off a party in the political history (of the country)." "It is a matter of joy that all of them have been acquitted," he adds.
Accused have suffered a lot, says Mukul Rohatgi
DMK rules out any alliance with the NDA
Just hours after a special CBI court acquitted A Raja and Kanimozhi in the 2G Spectrum scam, the DMK said that it is not thinking of any kind of any alliance with the BJP-led NDA. We are very much with the Congress," party sources to News18.
Essar Group welcomes verdict in 2G spectrum scam case
The Essar Group today welcome the judgment of the special court acquitting its promoter Ravi Ruia and Anshuman Ruia in a case arising out of the prob into the 2G spectrum allocation scam.
"We are thankful to the court for the judgement as i vindicates our stated position and the court has appreciate it," an Essar spokesperson said in a statement.
Arun Jaitley says some parties are treating this verdict as badge of honour; spectrum in 2007-08 was not given by auction but on the basis of price discovery which was based on 2001 prices
Finance Minister Arun Jaitley reacts to the 2G verdict.
"Some parties are treating this verdict as a badge of honour. In 2007-08, spectrum was not given by auction, but on the basis of price discovery which was based on 2001 prices. Even within the policy implementation, there was huge element of arbitration. Cut-off date was advanced, first-come, first-served basis policy was intended to serve a few. It was then changed to first-come, first-pay policy. Favourite few were told in advance about the policy. Even the Supreme Court challenged this first-come, first-served policy and quashed it. The court called it unfair and intended to cause loss to the Government of India. Supreme Court directed the government to have a fresh policy. And in 2015, the NDA government got a much higher price…. (UPA) policy was designed to promote corruption. It was implemented in an unfair manner, causing loss of revenue to the government. Auctioning was getting much higher price. I am sure investigating agencies and prosecuting agencies will look into it and decide what to do further in the matter. The Congress should not consider this as some kind of certificate of clean chit."
OPERATIVE PART OF VERDICT
"There is no material on record to show that Sh. A. Raja was mother lode of conspiracy in the instant case. There is also no evidence of his no-holds-barred immersion in any wrongdoing, conspiracy or corruption.... I may add that many facts recorded in the charge sheet are factually incorrect, like Finance Secretary strongly recommending revision of entry fee, deletion of a clause of draft LOI by Sh. A. Raja, Recommendations of TRAI for revision of entry fee etc."
FROM THE JUDGMENT
"In the beginning, the prosecution started with the case with great enthusiasm and ardour. However, as the case progressed, it became highly cautious and guarded in its attitude making it difficult to find out as to what prosecution wanted to prove. The quality of prosecution totally deteriorated and it became directionless and diffident."
Winter Session of Parliament going to be a wash out, says Rajeev Chandrasekhar
The special court judgement is likely to give more ammunition to the Opposition parties to attack the ruling coalition. Rajya Sabha MP and entrepreneur Rajeev Chandrasekhar, however, feels the session was anyways going to be a wash out.
"This may add to the overall noise level. The session is going to be a wash out," Chandrasekhar told CNBC-TV18.
DB Realty, Unitech shares surge on BSE
Shares of DB Realty and Unitech zoomed on the Bombay Stock Exchange after the 2G special court acquitted all accused in the 2G spectrum scam.
Shahid Usman Balwa and Vinod Goenka, two of the acquitted, had stepped down as managing directors of DB Realty after they were accused of wrong doing. Unitech MD Sanjay Chandra has also been acquitted today.
The shares of DB Realty were up up 19.94 percent at Rs 43.60 and Unitech shares were up 13.48 percent at Rs 8 on the BSE.
Senior Congress leader Milind Deora tweets
Manmohan Singh says don't want to boast about anything: Judgment speaks for itself
Speaking to reporters, former prime minister Manmohan Singh said, "I don't want to boast about anything... Massive agenda-driven propaganda was done at that time against UPA government and the judgment speaks for itself."
Will read the verdict like a 'good lawyer and then comment': A Raja
Former telecom minister A Raja says he'll first read the verdict "like a good lawyer and then comment."
Clearly the Court found that innocent people have been wronged. Justice has worked as it is supposed to work in our country: Shashi Tharoor
Subramanian Swamy tweets again:
It was a false case. For the past 2 assembly elections, the case was used against us, now it has been proved to be wrong: RS Bharathi, DMK
There was no corruption, no loss, says Kapil Sibal
"Aaj meri baat siddh ho gayi, koi corruption nahi, koi loss nahi. Agar scam hai to jhooth ka scam hai, vipaksh aur Vinod Rai ke jhooth ka. Vinod Rai ko desh ke saamne maafi maangni chahiye (I have been proven right. There was no corruption, no loss. If there was a scam it was a scam of lies which was woven together by the then Opposition and former CAG Vinod Rai. Rai needs to apologise to the entire nation)."
Congress spokesperson Priyanka Chaturvedi tweets
"Will BJP now apologise to the nation for stalling parliament for years, slowing down India's growth story, levelling baseless accusations against the then government for BJP's hunger to be in power at any cost? Shame on their power hungry politics"
Kanimozhi says verdict has proven her innocence
Speaking to News18, DMK MP Knaimozhi who was acquitted by the special CBI court in the 2G scam, said, "Finally our innocence has been proved. I will not deliberately target anyone but there was a conspiracy and a lot of people had a hand in this. It wasn't very easy. You are being accused of something you haven't done and corruption charges are the worst. It means a lot for DMK because corruption has been used as a peg to slam our party."
When asked whether the verdict will have any effect on the ongoing RK Nagar bypolls, Kanimozhi said, "I don't think this will affect the RK Nagar bypolls as DMK is already winning. However, the verdict means a lot, and it will enthuse the cadres for the bypolls and the upcoming 2019 General election."
Manish Tewari demands apology from Vinod Rai
Scene outside the court premises
Court acquits all: List of accused
The 2G case had engulfed politicians, bureaucrats and businessmen in its wake. Those who were facing charges included:
A Raja: The former Union minister is the main accused in the case and had been charged of cheating and criminal conspiracy.
Kanimozhi: The daughter of DMK supremo M Karunanidhi is the other famous name associated with the case.
Siddharth Behrua: Former telecom secretary was one of the bureaucrats charged in the case.
RK Chandolia: Chandolia was private secretary to A Raja.
Shahid Balwa: The businessman was accued of furnishing false information to the telecom department and bribing public servants.
Sanjay Chandra: The Unitech executive had been accused of working with Raja and Chandolia to obtain licenses.
Gautam Doshi, Hari Nair, Surendra Pipara: The Reliance ADAG executives were facing charges of concealing the shareholding pattern of Swan Telecom.
Karim Morani, Asif Balwa, Rajiv Agarwal, Sharath Kumar: The other businessmen who faced charges
Ravi Ruia, Anshuman Ruia, Vikash Saraf: Essar executives facing charges.
IP Khaitan and Kiran Khaitan: Loop Telecom promoters who had been accused in the case.
P Chidambaram says "Allegation of a major scam involving the highest levels of Government was never true..."
DMK supporters marching and celebrating outside Patiala House Court after the Court's pronouncement of 2G Scam Verdict
Apart from Raja and Kanimozhi, who all got acquitted
Besides Raja and Kanimozhi, others acquitted in the 2G spectrum scam case include former telecom secretary Siddharth Behura, Raja's erstwhile private secretary RK Chandolia, Swan Telecom promoters Shahid Usman Balwa and Vinod Goenka, Unitech Ltd MD Sanjay Chandra and three top executives of Reliance Anil Dhirubhai Ambani Group (RADAG) — Gautam Doshi, Surendra Pipara and Hari Nair. Directors of Kusegaon Fruits and Vegetables Pvt Ltd Asif Balwa and Rajiv Agarwal, Kalaignar TV director Sharad Kumar and Bollywood producer Karim Morani have also been acquitted in the case.
All accused, including A Raja, Kanimozhi, acquitted by special court
A Raja, Kanimozhi, and 16 other accused will walk free, as the special CBI court on Thursday acquitted all 18 accused in the 2G spectrum scam. Citing lack of evidence, in a one-line order, the special court found all accused not guilty.
Lawyers standing outside the special court in Patiala House Court Complex slammed the prosecution for preparing a weak case. Reports said that the CBI and Enforcement Directorate will challenge the court's order in High Court.
Here's a look at the charges against the key accused in the 2G scam, including A Raja and Kanimozhi
Defence lawyer objects to presence of Subramanian Swamy in the court
All accused in the 2G scam case are being asked to line up to enter the special court. BJP leader Subramanian Swamy is also waiting to enter the courtroom and defence lawyer Manali Singhal is objecting to his presence there. Swamy is a private complainant in the high-profile case.
154 witnesses have recorded their statements till now
The Indian Express reported that till now, 154 witnesses have recorded their statements which include Anil Ambani, Tina Ambani, corporate lobbyist Niira Radia and many more. The statements of the witnesses amass over 4,400 pages.
Following are the companies affected by Supreme Court's ruling in 2012 and the number of zonal licences issued to them in 2008
Unitech Wireless -- 22 licences
Group companies of Indian realty firm Unitech Ltd that were given 22 telecom licences had not fulfilled eligibility norms for getting these licences, the state auditor has said.
Loop Telecom Private Ltd -- 21 licences
Loop Telecom, which was issued 21 telecom licences, suppressed facts, its authorized share capital was much less than required, and it did not have telecom as the main object clause in its memorandum of association among other flaws, the auditor has said.
Videocon Telecommunications -- 21 licences
Videocon Telecommunications, formerly Datacom Solutions, is part of India’s Videocon group and was issued 21 licences. The auditor said the company had suppressed facts, had much less-than-required authorized share capital and submitted false certificates regarding the company’s paid-up capital.
Etisalat Db Telecom Private Ltd -- 15 licences
Formerly Swan Telecom, the company had been given 13 licences and also later merged with itself another firm that had won 2 licences. Abu Dhabi’s Etisalat in late 2008 bought about 45 percent of the company that was then renamed Etisalat DB Telecom.
S Tel Ltd -- 6 licences
S Tel, which was given six licences, suppressed facts, had much less than the authorized share capital required to get the licences, submitted false certificate from its company secretary regarding paid up capital, the auditor said. Bahrain Telecommunications Co owns a stake in S Tel, whose other major shareholder is India’s Siva Group.
Sistema Shyam Teleservices -- 21 licences
Sistema Shyam, which was given 21 licences in 2008, is a joint venture between Russian conglomerate Sistema and India’s Shyam Group. Sistema owns majority stake of the company, while the Russian government also has a stake in Sistema Shyam.
Idea Cellular -- 13 licences
Idea Cellular, which was given 9 more licences in 2008, is India’s No. 4 mobile operator by subscribers. It now owns Spice, which was also given 4 licences in 2008. Idea said it is using seven of the 13 licences to be revoked.
Tata Teleservices -- 3 licences
Tata Teleservices, which won 3 licences in 2008, is part of India’s salt-to-software Tata conglomerate. In 2008, Japan’s NTT DoCoMo bought 26% of Tata Teleservices.
- report by Reuters
2G spectrum violations cost Indian govt $36 billion equivalent to India’s defence budget
India is divided into 22 telecom zones and there are a total 281 zonal licences in the market of 894 million users and 15 mobile operators, led by Bharti Airtel, Reliance Communications and Vodafone’s India unit.
According to this February 2012 report by Reuters, police had said that in 2008, when India issued 122 new telecom licences, several rules were violated and bribes were paid to favour certain firms.
Several licences were issued to firms with no prior experience in the telecom sector or were ineligible or had suppressed relevant facts, a state auditor said in its report. The violations cost the exchequer as much as $36 billion in lost revenue, the auditor said, equivalent to India’s defence budget.
What are the allegations?
The allegation relates to the fact that Telecom Minister A Raja, who after taking office in May 2007, manipulated the policy regime and TRAI’s recommendations, and in blatant violation of law (TRAI Act) and other settled law:
1. B. Prabhakar Rao Vs. State of A.P. (1985) SUPP.SCC432
2. D.S. Nakara Vs. Union of India (1983) 1SCC305
3. Monarch Infrastructure Pvt. Ltd. 2000 (v) SC287
4. K. Manjusree Vs. State of A.P. (2008) 3SCC512
5. Union of India Vs. S Tel, 1 July 2009, Justice G.S. Sistani, Delhi High Court
6. Union of India Vs. S Tel 24 November 2009, Delhi High Court, Hon’ble Chief Justice Dr. S. Murlidhar
Raja sold licenses/2G spectrum to a handful of arbitrarily selected (120 out of 575) companies in January 2008 at a bargain basement 2001 price. In doing so, he not only violated the law, committed several improprieties, but caused a loss to the exchequer of at least Rs 40,000 crore.
Who else is present in the court
Others who are in the court are Kanimozhi's half-brother MK Alagiri, her husband and other DMK leaders. The special court, which is exclusively dealing with the cases arising out of the 2G spectrum allocation scam, has directed all 17 accused to remain present for the verdict.
'Raja ran amock, twisting every rule in the book. And every single deviation was documented in great detail'
Shalini Singh, the reporter who broke the 2G spectrum scam at that time, writes:
For the telecom beat, it began dramatically, with stories on the "gold rush": an ever-growing pile-up of licence applications in Sanchar Bhavan based on common knowledge that 2G licences in 2008, would be awarded at 2001 prices.
But it wasn't just about that. In granting licenses to favoured companies, Raja also helped them jump the queue. This, through illegally advancing the cut-off date and designing a bespoke first-come-first-served (FCFS) policy while ostensibly snubbing the then prime minister Manmohan Singh, law minister H R Bhardwaj, the finance ministry and his own senior officials advice to opt for fair and transparent auctions. Much of this now finds mention in the crucial section 70 (I – vii) of the Supreme Court judgment delivered in 2012 which cancelled all the 122 “illegally awarded” licences by Raja.
Raja ran amock, twisting every rule in the book. And every single deviation was documented in great detail.
But Raja was unstoppable. He and his team went ahead as per plan, immune to the fact that their intent and modus operandi to eventually loot the nation to the extent of Rs 1.76 lakh crore in full public view had already been detailed in one of the country’s leading national dailies.
How 2G scam expose became poster boy of a corrupt nation
The 2G expose became the poster boy of a corrupt nation by showcasing corruption across a full 360 degrees; administrative and political culpability in violating government policies to rob the exchequer for private enrichment, (led to the Supreme Court judgment of 2012 cancelling all the "illegal" telecom licences), a corrupt media in collusion with big business and the PR industry (Radia Tapes) and the role of government law officers (Solicitor General Ghoolam Vahanvati) in facilitating rather than preventing the breaking of the law.
Raja, Kanimozhi facing trial with Barua, Chandolia, Balwa, Goenka and Sanjay Chandra
In the first case filed by the CBI, Raja and Kanimozhi are facing trial along with former telecom secretary Siddharth Barua, Raja’s erstwhile private secretary R K Chandolia, Swan Telecom promoters Shahid Usman Balwa and Vinod Goenka, Unitech Ltd MD Sanjay Chandra and three top executives of Reliance Anil Dhirubhai Ambani Group (RADAG) — Gautam Doshi, Surendra Pipara and Hari Nair.
In 2011, Manmohan had said that "coalition compulsions" had forced him to make compromises
The 2G spectrum allocation scam, which rocked the UPA II government, was the biggest scam in the history of Independent India. The then prime minister Manmohan Singh’s image was battered in the ensuing storm.
In February 2011, Manmohan had said that "coalition compulsions" had forced him to make compromises.
Biggest scam in the history of Independent India
The special court, which is exclusively dealing with the cases arising out of the 2G spectrum allocation scam, has directed all accused to remain present for the much-anticipated 2G scam verdict.
What are the charges against Kanimozhi
Charges against Kanimozhi, the daughter of DMK patriarch M Karunanidhi, include criminal conspiracy to cause criminal breach of trust by a public servant and criminal conspiracy (Section 120-B), cheating (Section 420) and forgery (Sections 468 and 471). She has also been booked under the Prevention of Corruption Act.
Raja and Kanimozhi arrive at the Patiala House Court complex
A Raja and Kanimozhi have arrived at the Patiala House Court complex for the 2G scam verdict. Also present in court is Kanimozhi’s half-brother MK Alagiri. Special CBI judge OP Saini has asked all 17 accused, including Kanimozhi and Raja, to be present for the verdict.
Karunanidhi’s long wait for DMK’s resurgence
From behind his tinted glasses, the grand old man of Dravidian politics Muthuvel Karunanidhi 93, waits. For what (all) exactly, we can’t say. But at 93, he battles age, ill health and multiple medical complications and continues to make headlines for taking a ride from his home not far from where Jayalalithaa lived to the DMK headquarters on Anna Salai.
Recently, on doctor’s orders, MuKa, as he is affectionately called, swapped his signature dark glasses for simpler ones. From behind clearer lenses, DMK's patriarch will witness the result of two biggies today where his children have high stakes — the 2G scam verdict and the RK Nagar result.
13:07 (IST)
Stalin says historic verdict has been delivered
DMK Working President MK Stalin describes the 2G verdict as "historic". "A historic verdict has been delivered," says Stalin. Recalling that the case was filed in 2009, he says it was a "planned (attempt) to insult and finish off a party in the political history (of the country)." "It is a matter of joy that all of them have been acquitted," he adds.
13:07 (IST)
Nothing short of apology from Vinod Rai will work now, says Congress leader Sanjay Nirupam
13:00 (IST)
Accused have suffered a lot, says Mukul Rohatgi
12:52 (IST)
DMK rules out any alliance with the NDA
Just hours after a special CBI court acquitted A Raja and Kanimozhi in the 2G Spectrum scam, the DMK said that it is not thinking of any kind of any alliance with the BJP-led NDA. We are very much with the Congress," party sources to News18.
12:40 (IST)
Essar Group welcomes verdict in 2G spectrum scam case
The Essar Group today welcome the judgment of the special court acquitting its promoter Ravi Ruia and Anshuman Ruia in a case arising out of the prob into the 2G spectrum allocation scam.
"We are thankful to the court for the judgement as i vindicates our stated position and the court has appreciate it," an Essar spokesperson said in a statement.
12:24 (IST)
Arun Jaitley says some parties are treating this verdict as badge of honour; spectrum in 2007-08 was not given by auction but on the basis of price discovery which was based on 2001 prices
Finance Minister Arun Jaitley reacts to the 2G verdict.
"Some parties are treating this verdict as a badge of honour. In 2007-08, spectrum was not given by auction, but on the basis of price discovery which was based on 2001 prices. Even within the policy implementation, there was huge element of arbitration. Cut-off date was advanced, first-come, first-served basis policy was intended to serve a few. It was then changed to first-come, first-pay policy. Favourite few were told in advance about the policy. Even the Supreme Court challenged this first-come, first-served policy and quashed it. The court called it unfair and intended to cause loss to the Government of India. Supreme Court directed the government to have a fresh policy. And in 2015, the NDA government got a much higher price…. (UPA) policy was designed to promote corruption. It was implemented in an unfair manner, causing loss of revenue to the government. Auctioning was getting much higher price. I am sure investigating agencies and prosecuting agencies will look into it and decide what to do further in the matter. The Congress should not consider this as some kind of certificate of clean chit."
12:22 (IST)
12:20 (IST)
12:08 (IST)
OPERATIVE PART OF VERDICT
"There is no material on record to show that Sh. A. Raja was mother lode of conspiracy in the instant case. There is also no evidence of his no-holds-barred immersion in any wrongdoing, conspiracy or corruption.... I may add that many facts recorded in the charge sheet are factually incorrect, like Finance Secretary strongly recommending revision of entry fee, deletion of a clause of draft LOI by Sh. A. Raja, Recommendations of TRAI for revision of entry fee etc."
12:06 (IST)
FROM THE JUDGMENT
"In the beginning, the prosecution started with the case with great enthusiasm and ardour. However, as the case progressed, it became highly cautious and guarded in its attitude making it difficult to find out as to what prosecution wanted to prove. The quality of prosecution totally deteriorated and it became directionless and diffident."
12:05 (IST)
Winter Session of Parliament going to be a wash out, says Rajeev Chandrasekhar
The special court judgement is likely to give more ammunition to the Opposition parties to attack the ruling coalition. Rajya Sabha MP and entrepreneur Rajeev Chandrasekhar, however, feels the session was anyways going to be a wash out.
"This may add to the overall noise level. The session is going to be a wash out," Chandrasekhar told CNBC-TV18.
12:02 (IST)
DB Realty, Unitech shares surge on BSE
Shares of DB Realty and Unitech zoomed on the Bombay Stock Exchange after the 2G special court acquitted all accused in the 2G spectrum scam.
Shahid Usman Balwa and Vinod Goenka, two of the acquitted, had stepped down as managing directors of DB Realty after they were accused of wrong doing. Unitech MD Sanjay Chandra has also been acquitted today.
The shares of DB Realty were up up 19.94 percent at Rs 43.60 and Unitech shares were up 13.48 percent at Rs 8 on the BSE.
11:55 (IST)
Senior Congress leader Milind Deora tweets
11:53 (IST)
Manmohan Singh says don't want to boast about anything: Judgment speaks for itself
Speaking to reporters, former prime minister Manmohan Singh said, "I don't want to boast about anything... Massive agenda-driven propaganda was done at that time against UPA government and the judgment speaks for itself."
11:44 (IST)
Will read the verdict like a 'good lawyer and then comment': A Raja
Former telecom minister A Raja says he'll first read the verdict "like a good lawyer and then comment."
11:42 (IST)
Clearly the Court found that innocent people have been wronged. Justice has worked as it is supposed to work in our country: Shashi Tharoor
11:41 (IST)
Subramanian Swamy tweets again:
11:40 (IST)
It was a false case. For the past 2 assembly elections, the case was used against us, now it has been proved to be wrong: RS Bharathi, DMK
11:37 (IST)
DMK workers celebrate court order
11:34 (IST)
There was no corruption, no loss, says Kapil Sibal
"Aaj meri baat siddh ho gayi, koi corruption nahi, koi loss nahi. Agar scam hai to jhooth ka scam hai, vipaksh aur Vinod Rai ke jhooth ka. Vinod Rai ko desh ke saamne maafi maangni chahiye (I have been proven right. There was no corruption, no loss. If there was a scam it was a scam of lies which was woven together by the then Opposition and former CAG Vinod Rai. Rai needs to apologise to the entire nation)."
11:30 (IST)
Congress spokesperson Priyanka Chaturvedi tweets
"Will BJP now apologise to the nation for stalling parliament for years, slowing down India's growth story, levelling baseless accusations against the then government for BJP's hunger to be in power at any cost? Shame on their power hungry politics"
11:26 (IST)
Kanimozhi says verdict has proven her innocence
Speaking to News18, DMK MP Knaimozhi who was acquitted by the special CBI court in the 2G scam, said, "Finally our innocence has been proved. I will not deliberately target anyone but there was a conspiracy and a lot of people had a hand in this. It wasn't very easy. You are being accused of something you haven't done and corruption charges are the worst. It means a lot for DMK because corruption has been used as a peg to slam our party."
When asked whether the verdict will have any effect on the ongoing RK Nagar bypolls, Kanimozhi said, "I don't think this will affect the RK Nagar bypolls as DMK is already winning. However, the verdict means a lot, and it will enthuse the cadres for the bypolls and the upcoming 2019 General election."
11:20 (IST)
Manish Tewari demands apology from Vinod Rai
11:18 (IST)
Scene outside the court premises
11:14 (IST)
Court acquits all: List of accused
The 2G case had engulfed politicians, bureaucrats and businessmen in its wake. Those who were facing charges included:
A Raja: The former Union minister is the main accused in the case and had been charged of cheating and criminal conspiracy.
Kanimozhi: The daughter of DMK supremo M Karunanidhi is the other famous name associated with the case.
Siddharth Behrua: Former telecom secretary was one of the bureaucrats charged in the case.
RK Chandolia: Chandolia was private secretary to A Raja.
Shahid Balwa: The businessman was accued of furnishing false information to the telecom department and bribing public servants.
Sanjay Chandra: The Unitech executive had been accused of working with Raja and Chandolia to obtain licenses.
Gautam Doshi, Hari Nair, Surendra Pipara: The Reliance ADAG executives were facing charges of concealing the shareholding pattern of Swan Telecom.
Karim Morani, Asif Balwa, Rajiv Agarwal, Sharath Kumar: The other businessmen who faced charges
Ravi Ruia, Anshuman Ruia, Vikash Saraf: Essar executives facing charges.
IP Khaitan and Kiran Khaitan: Loop Telecom promoters who had been accused in the case.
11:12 (IST)
P Chidambaram says "Allegation of a major scam involving the highest levels of Government was never true..."
11:11 (IST)
DMK supporters marching and celebrating outside Patiala House Court after the Court's pronouncement of 2G Scam Verdict
11:11 (IST)
11:10 (IST)
Apart from Raja and Kanimozhi, who all got acquitted
Besides Raja and Kanimozhi, others acquitted in the 2G spectrum scam case include former telecom secretary Siddharth Behura, Raja's erstwhile private secretary RK Chandolia, Swan Telecom promoters Shahid Usman Balwa and Vinod Goenka, Unitech Ltd MD Sanjay Chandra and three top executives of Reliance Anil Dhirubhai Ambani Group (RADAG) — Gautam Doshi, Surendra Pipara and Hari Nair. Directors of Kusegaon Fruits and Vegetables Pvt Ltd Asif Balwa and Rajiv Agarwal, Kalaignar TV director Sharad Kumar and Bollywood producer Karim Morani have also been acquitted in the case.
11:09 (IST)
All accused, including A Raja, Kanimozhi, acquitted by special court
A Raja, Kanimozhi, and 16 other accused will walk free, as the special CBI court on Thursday acquitted all 18 accused in the 2G spectrum scam. Citing lack of evidence, in a one-line order, the special court found all accused not guilty.
Lawyers standing outside the special court in Patiala House Court Complex slammed the prosecution for preparing a weak case. Reports said that the CBI and Enforcement Directorate will challenge the court's order in High Court.
10:44 (IST)
Here's a look at the charges against the key accused in the 2G scam, including A Raja and Kanimozhi
10:41 (IST)
Defence lawyer objects to presence of Subramanian Swamy in the court
All accused in the 2G scam case are being asked to line up to enter the special court. BJP leader Subramanian Swamy is also waiting to enter the courtroom and defence lawyer Manali Singhal is objecting to his presence there. Swamy is a private complainant in the high-profile case.
10:28 (IST)
154 witnesses have recorded their statements till now
The Indian Express reported that till now, 154 witnesses have recorded their statements which include Anil Ambani, Tina Ambani, corporate lobbyist Niira Radia and many more. The statements of the witnesses amass over 4,400 pages.
10:25 (IST)
Following are the companies affected by Supreme Court's ruling in 2012 and the number of zonal licences issued to them in 2008
Unitech Wireless -- 22 licences
Group companies of Indian realty firm Unitech Ltd that were given 22 telecom licences had not fulfilled eligibility norms for getting these licences, the state auditor has said.
Loop Telecom Private Ltd -- 21 licences
Loop Telecom, which was issued 21 telecom licences, suppressed facts, its authorized share capital was much less than required, and it did not have telecom as the main object clause in its memorandum of association among other flaws, the auditor has said.
Videocon Telecommunications -- 21 licences
Videocon Telecommunications, formerly Datacom Solutions, is part of India’s Videocon group and was issued 21 licences. The auditor said the company had suppressed facts, had much less-than-required authorized share capital and submitted false certificates regarding the company’s paid-up capital.
Etisalat Db Telecom Private Ltd -- 15 licences
Formerly Swan Telecom, the company had been given 13 licences and also later merged with itself another firm that had won 2 licences. Abu Dhabi’s Etisalat in late 2008 bought about 45 percent of the company that was then renamed Etisalat DB Telecom.
S Tel Ltd -- 6 licences
S Tel, which was given six licences, suppressed facts, had much less than the authorized share capital required to get the licences, submitted false certificate from its company secretary regarding paid up capital, the auditor said. Bahrain Telecommunications Co owns a stake in S Tel, whose other major shareholder is India’s Siva Group.
Sistema Shyam Teleservices -- 21 licences
Sistema Shyam, which was given 21 licences in 2008, is a joint venture between Russian conglomerate Sistema and India’s Shyam Group. Sistema owns majority stake of the company, while the Russian government also has a stake in Sistema Shyam.
Idea Cellular -- 13 licences
Idea Cellular, which was given 9 more licences in 2008, is India’s No. 4 mobile operator by subscribers. It now owns Spice, which was also given 4 licences in 2008. Idea said it is using seven of the 13 licences to be revoked.
Tata Teleservices -- 3 licences
Tata Teleservices, which won 3 licences in 2008, is part of India’s salt-to-software Tata conglomerate. In 2008, Japan’s NTT DoCoMo bought 26% of Tata Teleservices.
- report by Reuters
10:16 (IST)
2G spectrum violations cost Indian govt $36 billion equivalent to India’s defence budget
India is divided into 22 telecom zones and there are a total 281 zonal licences in the market of 894 million users and 15 mobile operators, led by Bharti Airtel, Reliance Communications and Vodafone’s India unit.
According to this February 2012 report by Reuters, police had said that in 2008, when India issued 122 new telecom licences, several rules were violated and bribes were paid to favour certain firms.
Several licences were issued to firms with no prior experience in the telecom sector or were ineligible or had suppressed relevant facts, a state auditor said in its report. The violations cost the exchequer as much as $36 billion in lost revenue, the auditor said, equivalent to India’s defence budget.
10:12 (IST)
What are the allegations?
The allegation relates to the fact that Telecom Minister A Raja, who after taking office in May 2007, manipulated the policy regime and TRAI’s recommendations, and in blatant violation of law (TRAI Act) and other settled law:
1. B. Prabhakar Rao Vs. State of A.P. (1985) SUPP.SCC432
2. D.S. Nakara Vs. Union of India (1983) 1SCC305
3. Monarch Infrastructure Pvt. Ltd. 2000 (v) SC287
4. K. Manjusree Vs. State of A.P. (2008) 3SCC512
5. Union of India Vs. S Tel, 1 July 2009, Justice G.S. Sistani, Delhi High Court
6. Union of India Vs. S Tel 24 November 2009, Delhi High Court, Hon’ble Chief Justice Dr. S. Murlidhar
Raja sold licenses/2G spectrum to a handful of arbitrarily selected (120 out of 575) companies in January 2008 at a bargain basement 2001 price. In doing so, he not only violated the law, committed several improprieties, but caused a loss to the exchequer of at least Rs 40,000 crore.
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10:07 (IST)
Who else is present in the court
Others who are in the court are Kanimozhi's half-brother MK Alagiri, her husband and other DMK leaders. The special court, which is exclusively dealing with the cases arising out of the 2G spectrum allocation scam, has directed all 17 accused to remain present for the verdict.
10:02 (IST)
'Raja ran amock, twisting every rule in the book. And every single deviation was documented in great detail'
Shalini Singh, the reporter who broke the 2G spectrum scam at that time, writes:
For the telecom beat, it began dramatically, with stories on the "gold rush": an ever-growing pile-up of licence applications in Sanchar Bhavan based on common knowledge that 2G licences in 2008, would be awarded at 2001 prices.
But it wasn't just about that. In granting licenses to favoured companies, Raja also helped them jump the queue. This, through illegally advancing the cut-off date and designing a bespoke first-come-first-served (FCFS) policy while ostensibly snubbing the then prime minister Manmohan Singh, law minister H R Bhardwaj, the finance ministry and his own senior officials advice to opt for fair and transparent auctions. Much of this now finds mention in the crucial section 70 (I – vii) of the Supreme Court judgment delivered in 2012 which cancelled all the 122 “illegally awarded” licences by Raja.
Raja ran amock, twisting every rule in the book. And every single deviation was documented in great detail.
But Raja was unstoppable. He and his team went ahead as per plan, immune to the fact that their intent and modus operandi to eventually loot the nation to the extent of Rs 1.76 lakh crore in full public view had already been detailed in one of the country’s leading national dailies.
09:58 (IST)
How 2G scam expose became poster boy of a corrupt nation
The 2G expose became the poster boy of a corrupt nation by showcasing corruption across a full 360 degrees; administrative and political culpability in violating government policies to rob the exchequer for private enrichment, (led to the Supreme Court judgment of 2012 cancelling all the "illegal" telecom licences), a corrupt media in collusion with big business and the PR industry (Radia Tapes) and the role of government law officers (Solicitor General Ghoolam Vahanvati) in facilitating rather than preventing the breaking of the law.
09:55 (IST)
Raja, Kanimozhi facing trial with Barua, Chandolia, Balwa, Goenka and Sanjay Chandra
In the first case filed by the CBI, Raja and Kanimozhi are facing trial along with former telecom secretary Siddharth Barua, Raja’s erstwhile private secretary R K Chandolia, Swan Telecom promoters Shahid Usman Balwa and Vinod Goenka, Unitech Ltd MD Sanjay Chandra and three top executives of Reliance Anil Dhirubhai Ambani Group (RADAG) — Gautam Doshi, Surendra Pipara and Hari Nair.
09:51 (IST)
In 2011, Manmohan had said that "coalition compulsions" had forced him to make compromises
The 2G spectrum allocation scam, which rocked the UPA II government, was the biggest scam in the history of Independent India. The then prime minister Manmohan Singh’s image was battered in the ensuing storm.
In February 2011, Manmohan had said that "coalition compulsions" had forced him to make compromises.
09:50 (IST)
Biggest scam in the history of Independent India
The special court, which is exclusively dealing with the cases arising out of the 2G spectrum allocation scam, has directed all accused to remain present for the much-anticipated 2G scam verdict.
09:49 (IST)
What are the charges against Kanimozhi
Charges against Kanimozhi, the daughter of DMK patriarch M Karunanidhi, include criminal conspiracy to cause criminal breach of trust by a public servant and criminal conspiracy (Section 120-B), cheating (Section 420) and forgery (Sections 468 and 471). She has also been booked under the Prevention of Corruption Act.
09:46 (IST)
Raja and Kanimozhi arrive at the Patiala House Court complex
A Raja and Kanimozhi have arrived at the Patiala House Court complex for the 2G scam verdict. Also present in court is Kanimozhi’s half-brother MK Alagiri. Special CBI judge OP Saini has asked all 17 accused, including Kanimozhi and Raja, to be present for the verdict.
09:45 (IST)
Karunanidhi’s long wait for DMK’s resurgence
From behind his tinted glasses, the grand old man of Dravidian politics Muthuvel Karunanidhi 93, waits. For what (all) exactly, we can’t say. But at 93, he battles age, ill health and multiple medical complications and continues to make headlines for taking a ride from his home not far from where Jayalalithaa lived to the DMK headquarters on Anna Salai.
Recently, on doctor’s orders, MuKa, as he is affectionately called, swapped his signature dark glasses for simpler ones. From behind clearer lenses, DMK's patriarch will witness the result of two biggies today where his children have high stakes — the 2G scam verdict and the RK Nagar result.