The CBI on Thursday questioned Essar Group CEO Prashant Ruia in connection with its probe related to 2G spectrum scam. The agency officials put direct questions to Mr Ruia about the alleged role of Essar in Loop Telecom, which got Unified Access Service (UAS) licences for 21 circles in January 2008.
According to sources, the agency is also expected to call Ms Kanimozhi, daughter of Tamil Nadu chief minister M. Karunanidhi. The agency is likely to quiz her on the specific details related to funding to Tamil Maiyam, an NGO. Ms Kanimozhi is on the board of directors administering the NGO. [Our Chennai correspondent adds: Asked if she had received any communication from the CBI, Ms Kanimozhi replied in the negative. “I have not received any summons. I have no information,” she said.] The agency had carried out searches on December 15, 2010, in connection with 2G scam probe.
Sources further said, “The agency officials are also expected to ask her pointed questions related to funding of Kalaignar TV, allegedly made by Swan Telecom (now Etisalat-DB Telecom Private) promoter Shahid Balwa.”
The agency is also probing the role of DB Realty, allegedly owned by Mr Balwa, in banking scam, sources said, adding that the probe officials are in touch with the officials of the CBI’s Mumbai branch in this regard.
During his questioning, sources said, Mr Ruia was confronted with Loop Telecom officials, including its CEO Sandeep Basu. The agency officials are also in touch with the Union ministry of company affairs to probe the link between Loop Telecom and Essar group, if any”.
The agency will be calling senior officials of other telecom companies for questioning from Friday. The CBI is expected to make significant arrests in a day or two.
The Essar CEO was called amid allegations that Loop Telecom acted as a front company for Essar which has nearly 33 per cent stake in Vodafone-Essar joint venture. According to the report of the Comptroller and Auditor General of India (CAG), Shipping Stop Dot Com (India) Private Limited (later on changed to Loop Telecom Private Limited) submitted its applications for grant of UAS licences for 21 service areas on September 3, 2007, to the DoT.
However, it is learnt that the company changed the main object clauses in its Memorandum of Association (MOA) of Article of Association (AOA) to include the telecom sector for meeting the eligibility criteria, after submission of the application.