Thursday, March 3, 2011

CBI to probe security angle in Etisalat entry

NEW DELHI: The CBI probe into the 2G scam will look into the home ministry's concern that the entry of Etisalat, which has interests in Afghanistan and Pakistan, could pose a threat to national security.
A Supreme Court bench of Justices GS Singhvi and AK Ganguly, which is monitoring the 2G probe, on Thursday asked CBI to verify this aspect which was highlighted by Janata Party chief Subramanian Swamy.
Etisalat has partnered DB Group to acquire a majority interest in Swan Telecom which was allegedly favoured by former telecom minister A Raja.

Etisalat report on March 15

The Union home ministry has objected to UAE-based Etisalat increasing its stake on the ground that it had substantial presence in Pakistan and Afghanistan. The ministry had also mentioned Etisalat's alliance with Chinese army-controlled Huawei.
Etisalat has partnered DB Group to acquire a majority interest in Swan Telecom which was allegedly favoured by former telecom minister A Raja
According to documents submitted in SC, the home ministry had objected to DB Group promoter Balwa's presence in Etisalat. Taking this into account, the bench asked CBI to investigate alleged breach of national security and submit a report along with its fresh status report on March 15.

The court also asked CBI to look into the alleged arm-twisting of telecom operator S-Tel by the telecom ministry under Raja, who took offence at the service provider moving the Delhi High Court, accusing the department of telecommunications of changing spectrum allocation policy mid-way.

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