Wednesday, April 11, 2012

Government seeks President reference in 2G case

 The government on Tuesday decided to make a presidential reference to the Supreme Court, asking it to clarify it whether its judgment in the 2G case makes auctioning of natural resources across all sectors mandatory under all circumstances .

In addition, the government is seeking the court's opinion on whether licences granted since 1994 would also be affected because of the order related to the 2007 award when the first-come-firstserved (FCFS) policy was followed . Through the reference, the government seeks to know if it would have to withdraw spectrum allocated to the existing licences or charge retrospectively for it. A ruling on the issue can have major implications for all cellphone operators.

However, the reference has no quarrel with the SC order cancelling the 122 2G licences , which were allocated by the jailed former telecom minister A Raja allegedly for considerations and as part of a mega spectrum scam.

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