2G SPECTRUM CASE Professional Ethics Submitted By: Abhishek Anand
What is 2G 2G Spectrum Case 2
Introduction of the 2G Case Case involved government officials illegally undercharging mobile companies for frequency allocation A. Raja allocated 122 license of 2G spectrum with fixed price option which favored some telecom companies Sold the license with a low price without any rules and regulation Reduced the deadline of application due which many companies did not apply Companies which favored A raja were ready with their cheques and other documents CAG gave report licenses were granted to ineligible companies with no experience The total loss was estimated around 1.76 lakh cr. 2G Spectrum Case 3
MAJOR ISSUES 4 2G Spectrum Case
ROLE OF A RAJA Cheap Telecom License- at 2001 price instead of 2008 No Procedure Followed Rules Changed and Date Changed First Come,Fiest Serve Basis No Proper Auction ,No Bid Invited Favouritism Ignored TRAI,Finance Ministriy and Law Ministry Advice. 5 2G Spectrum Case
PARTIES ACCUSED OF INVOLVEMENT Politicians Involved A Raja – Minister of Communication& IT MK Kanimozhi- Rajya Sabha MP P. Chimdambaram- Minister of Home Affairs Bureaucrat's Involved Siddharth Behura- Former Telecom Secretary RK Chandolia- Raja’s private Secretary 6 2G Spectrum Case
PARTIES ACCUSED OF INVOLVEMENT Corporates Executives Gautam Doshi- MD of Reliance (anil ambani group) Surendra Pipara- VP of Anil Amani Group Sanjay Chandra- MD of unitech Sahid balwa and Vinod Goenka- DB Group and Swan telecom promoters Media Professionals Nira Radia Barkha Dutt Vir Sanghvi 7 2G Spectrum Case
LIST OF COMPANIES FAVOURED Allianz Infra Swan Videocon Telecommunivation Reliance Communication S Tel Unitech builders &estates Loop Telecom Vodafone Essar Tata Communiation MTS 8 2G Spectrum Case
ETHICAL ISSUES AND CONCERN GOVERNMENT The ethos of collective responsibility is not being preserved Incorrect use of power causes havoc. The whole decision-making power was vested in a small group of bureaucrats. INDUSTRY Fair competition spirit not complied with. Intermediaries used for authority access. Pure company profit chasing – Uninor and Swan The primary driving force was profit REGULATION Only advisory powers No power were given to take strict action. Conflict of interest is mitigated in the appointment process. Government agencies should be held more accountable to regulators. 2G Spectrum Case 9
IMPACT OF 2G SCAM ON COUNTRY 2G Spectrum Case 10
RECOMMENDATION There should be proper disclosures in all PPP and any kind contract which involve public money. Government can sanction to pre-qualified candidates on lottery basis Loophole in the System need to be corrected in order to avoid scams Whenever A scam rises govt. Is dealing with scam rather than the reason behind it. Parliamentary committees should be more transparent to general public. Media should be more transparent and present the actual fact to public. 2G Spectrum Case 11