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Submitted By:Anik Chowdhury (86) Arnab Das (87) Banhi Sanyal (88) CSE DEPT.
WHAT IS 2G ?
It is a term used in telecommunication sector. It is a spectrum which support 2G technology. High bandwidth is required for this purpose. 2G means second-generation wireless telephone technology. Second generation 2G cellular telecom networks were commercially launched on the GSM standard in Finland in 1991. 2G introduced data services for mobile, starting with SMS text messages.
WHAT IS CAG
The CAG (Comptroller and Auditor General) is a typical file-based government auditing agency. It stresses on reporting deviations from set procedures and policies and fails to recognise that the deviations have resulted in speeding up economic growth.
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CONTD
Spectrum allocated beyond contracted quantity to 9 firms including Bharti, Vodafone, Idea, BSNL, Reliance, Aircel Idea and Spice not given spectrum on grounds of proposed merger- this was against the rules Allocation of 2G spectrum led to loss of Rs. 1.76 lakh crore DoT did not follow its own practise of first-come-first-serve in letter and spirit Calculation of loss based on 3G auction earlier this year Cut-off date for license letters advanced arbitrarily by a week This went against time-tested procedures of government functioning Entire process lacked transparency Undertaken in arbitrary and inequitable manner
Unitech has got license for 22 circles and it paid the Rs.1658 crore license fees for each circle but the company sale their 67.25% equity for Rs.6120 crore to the telenor a company of Norway. Telenor has valued the spectrum of the company CAG said that if we see this deal then the fees for the allotment of license is between Rs.7758 crore to Rs.9100 crore on the other way if it was not their then the govt. will get the fees between Rs.58000 crore to Rs.68000 crore for the 122 license.
WHO IS A. RAJA?
Andimuthu Raja has come a long way from being a lawyer in rural Tamil Nadu. The former Communication minister who make the 2G spectrum scam
CHEAP TELECOM LICENSESEntry fee for spectrum licenses in 2008 pegged at 2001 prices. Mobile subscriber base had shot up to 350 million in 2008 from 4 million in 2001.
NO PROCEDURES FOLLOWEDRules changed after the game had begun Cut-off date for applications advanced by a week
CONTD.
Licenses issued on a first-come-first-served basis No proper auction process followed, no bids invited Raja ignored advice of TRAI, Law Ministry, Finance Ministry TRAI had recommended auctioning of spectrum at market rates
Unitech, Swan Telecom got licenses without any prior telecom experience. Swan Telecom given license even though it did not meet eligibility criteria
CONTD.
Swan
got license for Rs. 1537 crore, sold 45% stake to Etisalat for Rs. 4200 crore. Unitech Wireless got license for Rs. 1661 crore, sold 67.25% stake for Rs. 6200 crore. All nine companies paid DoT only Rs. 10,772 crore for 2G licences
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