
The Supreme Court has expressed concern over the aspects of national security being overlooked during the tenure of A. Raja, former Minister of Telecommunications and IT, by allowing foreign companies to operate in the sector despite adverse reports against them, according to news reports.
The court is referring to Etisalat DB Telecom and S-Tel, against whom the Home Ministry had expressed reservations.
The court was hearing a petition filed jointly by various civil societies, including the Centre for Public Interest Litigation, Telecom Watchdog and Common Cause, and by Janata Party chief Subramanian Swamy, seeking the court?s direction to cancel all the licences issued to operators during Raja?s tenure.
Prior to this, on March 3, 2011, the court had asked the Central Bureau of Investigation (CBI) to probe the restoration of 2G spectrum licence to Chennai-based telecom operator S-Tel after its cancellation earlier on grounds of threat to national security. It had also asked the agency to investigate Etisalat, as the Home Ministry had expressed reservations earlier to the Department of Telecommunications and the Union Finance Ministry regarding the foreign direct investment (FDI) made by it in the telecom sector.
The Finance ministry had written to Etisalat that its proposal for enhancing FDI in
The grant of 2G spectrum allocation licence to Swan (now Etisalat DB) was questioned by Swamy on grounds of threat to national security and he had informed the court that the Home Ministry had raised the objection to investment by it.
The court has also issued notices to 11 telecom companies, Etisalat, Uninor, Loop Telecom, Videocon, S-Tel, Allianz Infra, Idea Cellular, Tata Teleservices Limited, Sistema Shyam TeleServices, Dishnet Wireless and Vodafone Essar seeking their response on why their licences should not be cancelled.