2G scam: DoT to send show cause notices to erring telcos by week-end

These telecos will be given 60 days to respond. Many companies are facing allegations of not disclosing all facts while applying for 2G licences in 2007.

By PTI | Dec 09, 2010, 04.06 PM IST

NEW DELHI: The government will complete the process of sending show cause notices to about six telecom firms for bagging 85 licences in allegedly non-transparent manner by the end of this week.

"We will complete sending notices to the telecom operators by this week," Sibal told reporters on the sidelines of the India Telecom 2010 summit here.

The government had earlier said that it will send notices to 85 licencees asking why their licences should not be cancelled for suppressing facts at the time of applying.

These telecom firms will be given 60 days to respond. Many companies are facing allegations of not disclosing all facts while applying for 2G licences in 2007.

The DoT will issue notices in 119 instances, dating back to 2006, for not complying with rollout obligations, Sibal had earlier said.

Last month, the Telecom Regulatory Authority of India had asked the government to cancel 62 licences given to five companies, including Etisalat (Swan), Uninor and Videocon.

Recommendation for this strong action was made to the telecom ministry owing to the companies' non-compliance or irregular roll-out of network, as laid down in the contract.

The action came amid the Comptroller and Auditor General slamming the telecom ministry for irregularity and impropriety in giving licences to new players in 2008, causing a loss of a whopping Rs 1.76 lakh crore to the exchequer.

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