2G scam case: Only a subsidiary can be an 'associate', DoT tells CBI

NEW DELHI: The telecom department has told the CBI that the according to the law ministry a company can be an 'associate' of another only if it is a subsidiary, and that two firms can be associates of each other if a parent company owns over 50% stake in both.

The DoT forwarded the law ministry's opinion to the federal investigating agency on Wednesday, according to documents available with ET.

ET had reported the law ministry's opinion earlier this month while adding that this stance could weaken cases filed by the CBI against some of the accused in the alleged 2G scam.

The definition of 'associate' forms the core of CBI's charges against the brass of Swan Telecom and three executives of the Reliance ADA Group.