What do you know about 2G Spectrum Scandal ? Nov 22. 2010 | Comments (0)
Q.What is the 2G Spectrum Scam?Ans. In 2008, the union government has awarded pan India licenses and second generation telecom spectrum to 9 companies, in 122 circles for offering mobile telephony services. These licenses were awarded in an arbitrary and non-transparent manner for a paltry sum of `1658 crores. This abnormally low price was fixed without taking into account the remarkable increase in telephone density in the country, and the precious and finite spectrum was allocated on a first-come, first-served basis without calling for competitive bids. The government has also failed to lay down eligibility criteria for applicants and has arbitrarily advanced the cut-off date for considering applications. The subsequent sale of cornered spectrum by fly-by-night operators for many times the fee they paid the Government had caused enormous loss running into tens of thousands of crores of rupees to the public exchequer. Based on the subsequent auction of airwaves for third...