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It’s unlikely “Swan” and “Loop Telecom” would ever be “penalized heavily”. Tata and Ambani, even though being summoned by PAC, would be asked to “pay up the damages”; some crores dealt here and there, permanent stock holdings to some prominent members and post retirement lollies as directors.

It transpires that Swan was a front for Reliance and Loop for Essar. Indeed, the idea was to bid for scarce spectrum, their holdings held in off shore accounts and laundered.

It is a dirty world indeed.

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Tehelka has a complete coverage on the issue. Look for the intricate details of money laundering; all done to hoodwink the rules and get the spectrum in any manner whatsoever.

P.S. Just added another category on Spectrum (as a reflection on the mess that we have).

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We would never know the true numbers because they would be under reported. DoT would not get in the game and the right from the word go, everyone is claiming that mobile number portability is a no show. I disagree. This is one the huge game changers in the long run and once the hoopla settles down, it’s best to switch providers. I would want something like Google Voice (one number) and get rid of the crap services but I am destined to suffer at their hands.

This also means that I have the full freedom to shift over to rival networks who would provide a better seamless coverage for that occasional data access.

Business Standard has a full page story on this issue It says:

The biggest loser was Reliance Communications (both GSM and CDMA), followed by state-run Bharat Sanchar Nigam and Tata Teleservices (CDMA and GSM). Reliance lost 9,837 users, while 192 chose to join its network..

So, no one likes Reliance Telecom. Anil Ambani, here’s one for you; how not to run a damned network.

Industry experts feel MNP will not be a game-changer. Even operators are not expecting the churn due to MNP to be more than one per cent, as against the current rate of four-five per cent. This is based on their experience in the Haryana circle, where MNP was launched in December. Haryana has seen a churn of about one per cent.

Where the F these experts come out from? They are either some way side idiots or “consulting firms”; would the news paper please stand up to explain who are these experts who have been quoted?

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Google is the top referrer here to this blog. People land up here looking for (sic):

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This one obviously takes the cake:

an ideal customer care executive

And this one too:

mgcarley is not an indian

Hodi Baba!!! Indians! WTF!

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The stats show that people are generally looking for:

sunil bharti mittal

anil ambani email id

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No wonder, morons abound here

This is the most popular post here on this blog with quite a number of acidic comments. This is before we implemented comment moderation since I was totally against any kind of censorship. However, people have no clue about “sensible discussion” nor they are willing to search for any alternatives.

This, alas, is the sad state of affairs.

That is the reason why these companies are happy with a systemic loot and are able to have huge funds at their disposal for effective lobbying. This is the reason why we as a populace keep on electing the same frigging nut heads to rule over us because politics is the safest and one of the most lucrative way of stashing public loot abroad after manipulating the system.

Had there been a national interest at heart, most of these frigging telecom companies would have been forced to fall in line.

Meanwhile, the likes of Anil Ambani do not care. He has a huge mass of customers willing to put in their money to find his expansion with one of the most pathetic mobile coverage ever (that’s my personal opinion though).

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Fuck them.

I was indeed surprised to read about Mukesh’s foray in the telecom business. This time in Broadband. Clearly there is a potential but he’s opted for Wimax delivery. It was all about Dad’s dream (as claimed earlier in the advertisements). It was clear to Mukesh and his team that in order to break through the clutter, they had to get something which was never heard off in the country before. Their “web stores” were one stop “digital hubs”. The idea, in theory was great. Yet, the gaming didn’t work off the way they wanted, it had severe billing issues and it appeared that Anil Ambani was interested to market the cellular version of telecom. Not the broadband variety.

Although, I am quite aware of the fact that they spent a huge packet of money to lay down the fibre optic cables and an attempt was made to provide for end to end connectivity. To add to their assholism (it is a very interesting mix of assholes trying to market something without creating a demand for it), their existing broadband plans sucked.

Any number of idiots mill around the forums to complain about Reliance but are totally unwilling to drag them to the court. You would find the same crop whining and sucking up later for the “new” wireless broadband because limited spectrum would mean that download limits would be rigorously imposed. Screwheads are aware of such issues yet claim a zillion times that they have been “ripped”.

Anyway, this interesting “brotherly rivalry” has no parallels. The billionaires with their army of lawyers are hell bent on making the “first move”. If I were in Mukesh’s telecom team, I would make the access “free”, charge for premium users and for those who wish to clog the networks, would have to pay the maximum. A free net access would mean that if your service has minimum downtime, more and more people would sign up for “premium services”. Simple logic but it’s beyond their thick skulls to understand. They are hard nosed businessmen. They think they know better.

See how this story evolves!

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Rajeev Srinivasan has a list of the write ups detailing this “scandal” of monumental proportions. It is rumored to be worth…hold your breath….22 billion dollars!

Imagine the kind of money, if invested in broadband or community Wifis would truly make us a “superpower” indeed!

I quote the relevant text (emphasis mine).

Documents available with The Pioneer show that Central Bureau of Investigation DIG Vineet Agarwal had on November 16, 2009, sought call detail records of Nira Radia from Director General of Income Tax (Investigation) Milap Jain. “It has been reliably learnt that certain middlemen, including one Ms Nira Radia of M/s Noesis Consultancy, were actively involved in the above-mentioned (spectrum scam) criminal conspiracy,” Agarwal’s letter to Jain, seeking the detailed call records, stated.

On November 20, 2009, as per Jain’s instructions, Joint Director of Income Tax Ashish Abrol provided the details of conversation between Radia and key players in the spectrum scam, including A Raja.

“There are some direct conversations between Ms Radia and the Telecom Minister. In some other conservations, Ms Radia boasts of having helped some of the telecom operators in their efforts to obtain licences/spectrums. Ms Radia has also been in regular touch with Shri Chandolia,” confirmed Abrol to the CBI. RK Chandolia was Raja’s private secretary during the time of spectrum allocation and has since been elevated as an economic adviser in the Department of Telecommunication.

Nira Radia is the person who is under scanner for lobbying in the Ministry of Telecom.

Radia is an NRI, who landed in India in early 2000 for some liaison work for aviation companies. Of the nine companies that benefited from the dubious spectrum allocation by Raja, the CBI found that four companies were “serviced” by Radia.

Highly-placed sources said the CBI was denied permission by top authorities to interrogate Radia even though the telephone intercepts clearly exposed her role in the scam, which cost an estimated Rs 1,00,000 crore to the exchequer. “There are some direct conversations between Ms Radia and the Telecom Minister. In some other conservations, Ms Radia boasts of having helped some of the telecom operators in their efforts to obtain licences/spectrums.

CBI is now probing the scam. But then, CBI has been used as an instrument to intimidate rather than be of any “benefit”.

The idea is to screw up the alliance partners and make them more amenable to persuasion in the electoral political compulsions. Everyone was AWARE of the “scam”, the likes of Swam Telecom (promoted by Anil Ambani) who made a windfall fortune and and Unitech which erstwhile had interests ONLY in real estate.

….real estate companies Swan and Unitech bagged the spectrum license at a throw away price and they off-loaded their shares at a whopping price to multi-national telecom giants. The Swan Telecom bagged the license for Rs.1537 crore for operating in 13 circles. Within months (September) it sold its 45 per cent of shares to Etisalat, the telecom giant in UAE for 900 million US dollars (Approximately Rs.4500 crore).

Similarly, the Unitech, another real estate company too entered into a bumper deal, without investing anything in telecom infrastructure. The company got license to operate in 22 circles for Rs.1651 crore. Within weeks, it sold 60 per cent shares for Rs.6120 crores to the Norwegian company Telenor, who is currently a major telecom player in Pakistan and Bangladesh.

More here.

This is just another media circus. Raja is just another player in the game. We are all suckers AS USUAL.

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Having said that, Anil Ambani has been taking potshots at his older sibling; this was seen in the full page advertisements that he took out in the newspapers. It even made the headlines for a brief period.

I am not interested to report the doings of two idiots fighting it out. It is perhaps for the first time, the gory details of financial irregularities have been made public; i.e. basically financial wizardry aimed at shortcharging the Government of the day. While you and me would die paying taxes, but the likes of Anil Ambani cause financial irregularities without being caught.

Despite his tall fancy claims, Anil Ambani remains a petty thief but diverting his slush funds in unnamed accounts. One never knows, how many ‘powers that be’ are being bankrolled by him; but for all practical purposes, having one of the worst networks ever encountered, Reliance needs to shut down.

With SEBI breathing down it’s neck, Anil must now be wondering as to why he had stir the hornet’s nest. Those people who ask for public accountability have their own dirty linen to wash.

Anil has heaps of it for sure.

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Unfortunately, I ran into network issues. I faced the maximum number of call drops, static and overall terrible customer care. It was pathetic to know about their billing cycles which very way off the mark. They charge for the time you connect on to call any other GSM network which is usurious.

Any amount of pushing the customer care to do their bit did not help. I had to request, cajole, shout at them to make the thing work. It would have been worthwhile to stick on to their plans had they improved “customer delight”. Their bills delivered by email were way too late and the printed bills reached me at the end of the billing cycle.

At any given point of time (whenever I used to be in Reliance Showroom to pay the bills), I saw angry customers shouting at the front desk.

Reliance, in my opinion, is a lousy service and one could just get on to them if you have tonnes of money to spare or burn. Or else, if you are suffering from masochism that you take delight in being served the wrong end of the stick being stuffed up through your back side. It’s that kind of an experience with them.

I am glad to be out of their “clutches”. I feel that they have lost their bearings and are hanging around as also rans in the market. With the sole exception of concenterating in the smaller moffussil towns like Jhumri Taliyan where you’d find their lousy signals and dumbstruck village idiots paying through their nose without realising the way they are screwed.

Anil Ambani perhaps has better avenues to concenterate on.

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For all practical purposes, Reliance has one of the worst billing practices. I think, it dates back from the time when they started. They charge you from the time you click on connect without waiting for the call to mature. They have one of the worst customer care services I have ever encountered. So far, I have never been able to connect to their customer “hotline” and routine mails go unanswered. They expect you to pay and pay alone without justifying for the costs incurred to the customer. I have been in dispute with this company regarding network issues; it has been over a month and no action was taken.

Further, I had signed up for their e-bills in the hope that the morons would be happy to send me the bill on time. No such luck. They bar my outgoing calls on 27th of every month; even though my billing cycle is much later than the date. On more than two occasions, I have received their bills on 9th of the following month; almost late by 2 weeks!

Anil Ambani makes tall claims about “servicing” the customer; they indeed are milking them dry. For all practical purposes, Reliance is one of the worst telecom operator ever; a far cry from the glorious days when they had an excellent network coverage all over the country. It has fallen from grace and is unable to recover from this.

Buy at your own risk and peril!

It was very disappointing to see that there was hardly any response to the query posted on the forums. Majority of the users are happy to go on a clickitivism spree where they think that they have done their duty. For all practical purposes, the net user base in this country is pathetic. Although, they would crib about the “connection speeds” but when it comes to getting down to the brasstacks, they are found wanting.

Cynicism and apathy are not warranted in the scheme of the things. If the user base of the country wants something to be done, they have to fight for their rights instead of cribbing over the state of affairs. This is precisely, the reason why companies like Reliance flourish.

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It is lame. Truly. I did come across their blog where they have attempted to “reach out their customers”. At best, it only shows snippets of their website and their product.

Here is the guy who made this commercial. And here is the making of the commercial:

Why this interest in DTH? I have joined as a Reliance customer because I needed their unlimited calling facility. So far, selling their multimedia enabled handsets would allow them to leverage their cross media holdings to reach out to a ready pool of customers. Mercifully, I have been included in their DND list or I would have been spammed about Anil Ambani’s latest venture. I was surprised to see Reliance Web world selling and renting out movies too; in addition to their “broadband”.

DTH remains another of their pipe dreams; it would be interesting to watch them battle it out for the customer’s wallets.

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Here in the grand strategy of Anil Ambani unfolds. He got the ad labs, poured in money in content creation and would make a huge moolah out of “exclusive” deals with media players. The value added services is a growing market and there is a HUGE space for exclusive content; I was surprised to know that there is a seperate channel for gardening; Tata has one for home tuitions. Although, it cannot replace the classrooms but then parents are keen for any degree of experimentation.

Coming back to IPTV. Does anyone of you readers think that this could make any degree of impact on the viewership? I feel that most of the people mistrust the landline outages (which are so frequent) unless there is a fibre to home coming to their homes with simple instructions to operate the set top box. The present hardware is designed to confuse the first time users; somewhere it ought to ring the bell to make it as simple as possible.

I would reserve my comments on the two competing platforms till the market matures up. Reliance is lying down low with it’s broadband offering. I am still wondering as to what has been the issue at their end. Why are they delaying the commercial launch? There are any number of ideas floating around and if they claim to be India’s number one network as far as the coverage is concerned, they ought to focus on their cherries. Or else, it would die a virgin.

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More details on the spat here.

I wanted to embed the clip from Ibn Live; although it works fine but sets up a pop up on this blog which links to their main website. This is very much annoying on their part but they seem to derive major parts of their revenue from these stunts. I am not much conversant with HTML to delete the line causing the pop up; I have removed the offending embeded video totally.

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After Bharti, MTN chose to court Reliance. It sounds like a whorehouse. MTN is playing the perfect mistress to the hilt and has no compunctions to court customers; all in order to increase it’s share valuation. Reliance is eager to get a hold of their booty because it realises what Airtel doesn’t. It can easily scale up it’s investments in other parts of the world, negotiate for better prices of it’s equipment and telecom gear and leverage it’s investments in entertainment by offering value added services.

Anil Ambani’s fascination seems to have stemmed in from watching too many movies (1,2) and his scaling up his investments in Hollywood as well as his maiden venture Big Flix Spearheading these investments is Amit Khanna who is a failed producer of Hindi movies.

Entertainment in Indian terms is very coarse to define. Indian laws are “strict” as far as the western counterparts are concerned and what passes through the censor’s scissors is defended in terms of artistic freedom. It’s futile to comment on the various crop of heriones who serve as a fodder for casting couches but this association of money and glamour has been significant. Anil Ambani is trying to marry the two different worlds of films and telecom; hoping that it would click. He bought a chain of theatres to justify his expansion in US and hoping to fructify his couple of millions in Hollywood.

All in all his efforts to bring forth the broadband revolution have come to a naught. Long time back, I could starry eyed kids jamming on the country wide LAN and getting to play the first person shooter games. It was an idea that was well ahead of it’s time and it’s been ages literally that I have visited a Reliance Web World myself. Have they been given a decent burial? I have no clue. But Anil Ambani is very keen to scale up his investments in portals like Zapak. Not only it has a weird sounding name, it has full scale coding errors. Big Flix suffers from patchy server connectivity and it’s easier to log on to You Tube and watch a movie than suffer endlessly on Big Flix and expecting it to load up.

Movie rentals are yet untested success formula and I’d be happy to visit the neighbourhood shop owner who gives me a better service than a nameless dude giving me a DVD. If Anil Ambani really wants to make it big, he should explore the Broadband route and serve the movies from a decentralised server; single server costs would skyrocket once the service catches on. He should ensure minimum downtime and always on connectivity in excess of 5 Mbps. This is a tall order indeed and needs huge investments. Although, the returns would be manifold.

He is on the cusp of launching his DTH platform (one of his significant investments) called as BIG TV and hopes to catch up with the existing players. I don’t endorse his investments as yet; atleast not in the TV and Media (BIG FM for radio).

Can you see a pattern? He’s aiming for a cyber presence and across the cross spectrum of media. As and when private FM channels are allowed to transmit news (which would be a sad day indeed), BIG FM, BIG TV, BIG Flix et al would be at the forefront with perhaps “BIG Paper”‘ too.

If you click on the links to You Tube, you’d find his reason to marry the actress too. Sadly, she doesnt inspire him much for broadband though.

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This was mandated much earlier way back in 2001; however, this was opposed by Bharti. Reliance had entered with the premise of “death of distance” and had made STD calls ridiculously cheap. At that time, Dhirubhai Ambani was still alive and Mukesh and Anil Ambani were still brothers in arms.

If Internet telephony is implemented in it’s present shape, it would see present rates crashing down to a large extent. It would give a new lease of life to ISP’s like Sify and other fringe lunatics to scale up investments. I can foresee the entry of players like Skype as well as other SIP players which rely on open standards. It’s hard not to imagine the real gains to economy as a whole and it would benefit the adoption of setting up of WiFi hotspots on a larger scale.

Carrier access codes means that one can choose his/her service provider and each of the incumbent telecom operator in fixed line business has to provide that option. It means that you can choose Airtel landline to use BSNL’s calling cards to call up you mother in law in Timbuktoo. Granted that mother in laws should remain far away without casting their evil eyes on their kids…..

The major player that’s going to get hurt is BSNL (and MTNL). Unless, they improve their services which are required in the present set up, people are going to abandon them like rats on a sinking ship.

Although, this isnt new and TRAI has probably dusted off it’s old files from it’s dingy offices, still, all compliments to them to even think of doing such a thing. This comes as a breath of fresh air indeed.

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If you look around, Tata had changed their brand to Tata Communications with perhaps the same intention. It hasn’t changed the focus of their work, their ethos and continue to dupe a whole mass of suckers who have no clue as to what broadband really is all about.

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Apart from maximising the revenues, GSM would help them to acquire more customers. I am sure that they would want to leverage the power of GSM and CDMA networks and introduce consolidated billing. For example, they could offer wireless internet on CDMA and voice calls on GSM; some kind of a switching mechanism could be developed.

Unless Anil Ambani wants to call it quits and screw up. Who knows?

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It is not clear as to what “scientific methodology” has been adopted to calculate the excess spectrum. It is not clear from the media trial either. Nevertheless, most of these telecom players must be cursing their luck to have picked up a direct fight with Anil Ambani who played his cards very well. He first fired a salvo in the media and then finally with the government. Even Manmoron (our “esteemed” PM) had to intervene to sort out the matters. Because, in politics, money speaks.

I was not very keen to report something like this on the change of a calendar. Nothing seems to have changed as far as the situation on ground is concerned. The fight is going to turn more ugly unless the dumb idiots realise that it’s better to reach out of court settlement.

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COAI finally mustered up guts and filed a lawsuit against Department of Telecom. As usual, the media was frothing at it’s mouth and made this the headlines. Reliance jumped in the fray and counter challanged DoT with their own version of lawsuits galore. It was free for all till they decided to call it sober down and indulge in some back room dealings. Lawsuits have ceased to make any more news for the time being.

Spectrum is the main cause of the “fights”. I have repeated this ad naseum and it makes no sense to highlight this fact that spectrum is a scarce resource and the way Government is frittering away it’s advantages should call for an open discussion. The fossilised babus are barely going to move their butts and would be happy to gather moss. The only people who are happy about the opacity of the laws are the lawyers.

Broadband is a non starter this year too. Airtel introduced their 8 Mbps plans with some assinine download limits. I believe that this seems to be a marketing strategy in order to create a buzz around their product. All the while, most people who sign up “shockingly fast broadband” (or whatever the ads claim), they would become aware of it’s potential. Which means that word of mouth publicity would get them more customers. I am not sure that this is their marketing strategy. I believe that this is stupidity of the first lot to make the available resources scarce and not catering to the existing pent up demand. In any case, their broadband pricing leaves a lot to be desired. Airtel has the bandwidth and the mojo and the works. Yet, it is staffed by perhaps one of the worst idiots who ever sat on a gold mine.

Tatas made a lot of news and perhaps for the first time they made it to the Asshole of the year on this blog. Congratulations to them on winning this coveted award and here’s hoping that they would keep up this record. They had their intentions set right and I remember reading in Business World about their grand plans to set up metro ethernet and their deals with Cisco. This was one off news and it wasn’t mentioned subsequently. VSNL lost it’s dominance in international distance calling cards and then Reliance gave them a good competition for international landing stations.

Speaking of Reliance, they made news for all the wrong reasons. They got into acquiring Adlabs and then fancied making movies. There was a talk of convergence and “lightening fast” broadband. (Notice the way they describe their pathetic products). So far, there has been NO shaking news about broadband; they are stuck in the 128k era. Ouch! Reliance has not ventured much in landline business and they are holding their cards close to their chest. At best, they set up shadown companies like Swan and Cheetah Telecommunications (what names!) to bid for the telecom licence.

Anil Ambani has been a true “also ran” in the marathon all the while trying to carve out some “niche” for himself. He knows that he is being compared to his elder sibling and when crores of accounted and unaccounted money is at stake, blood is thinner than water indeed. Mukesh was sensible to exit out from telecom and focus instead on retail and gas. It was Anil who still seems to be glamour struck (remember Tina Munim nee’ Ambani?) It shows for him.

HFCL Connect is a small time player along with Spice Communications run by Modis. They seem to have mustered up enough courage to apply for pan India licence and spread their wings. They remain, at best, marginal players and would interest the foreign companies in case they wish to set up shop here in India.

Hutch became Vodafone after protracted legal battle and it was a personal victory for Arun Sarin. However, the change of the name and rebranding has not changed anything with this company. I have been after them to improve the quality of their services but then nothing has changed. As usual.

I had expressed hope that the year 2007 would be the year of Broadband. However, this was not to be. This was more about spectrum wars, legal wranglings et a which I am sick of reporting here again and again. This has also resulted in slowing down of the posts here. I believe that the best news of this year is the announcement of number portability, initially limited to the metros. It would be scaled up at a later date to rest of the country. I hope that with low migration charges, the competition to retain the customers would be intense and it would be the quality of services that would speak for itself.

Let’s keep our fingers crossed.

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A quick low down of the ensuing events. According to the norms, the spectrum would be issued to the companies who garner the maximum share of the subscribers. This means that apart from the bloated number of subscribers, the whole mobile user base is a BIG suspect. The specturm wars broke out in the public because Raja wanted to ration the scarce resource and act God. There are often shispers of BIG money floating around but then that isn’t the focus of this write up here. At first, the government decided to relax the norms for spectrum allocation. In the meantime, it allocated 10 Mhz of “free” spectrum to the two upgly sisters, BSNL/MTNL. This was challanged by COAI, the motley coalition of the private telecom operators in TDSAT, which is tribunal body to decide the disputes. To add to the confusion in the midst was the huge number of applications that waited to get their turn for spectrum allocation. DoT decided to issue letters of intent to the new players.

In the meantime, the media jumped in the fray and raised the issue of 3G licences and there were various interpretations of the original licencing norms. Government of India thrives in controversy and no wonder that it was very happy to roll in the mud. The motley association was split right through the middle and they could not get their act quite right. After a couple of days, COAI made quiet noises about “settling” the 3G row.

Now comes the icing on the cake. Reliance got an entry in the GSM club by paying a paltry sum of 1600+crores and got their CDMA licence converted to some kind of a “universal access” crap. Whatever that means. Reliance’s entry in the cosy club and hence the scarce spectrum being gifted on the platter was too much for the association to digest. Anil Ambani and the rest exchanged verbal duels clothed in their gobbledegook. In other words, both the parties were fingering each other. When the war of words went out of hand, the DoT wanted to play Godfather and summoned the chiefs of all the telecom companies to “thrash out a solution”.

Raja realised that the game was clearly up and set up a shadow boxing competition. In effect, to announce as to who is the boss. Since there was no consensus on the telecom chief’s meet, he decided to get the PMO involved and had a smiling manmoron to back up his decision.

Thus ended the saga of the “spectrum wars”; the last word isn’t written as yet. I would wait for further news to unfold in the near future. Nevertheless, the mess persists and the ultimate looser is the public exchequer. Without going in detail about the merits of the case, I believe that this telecom mess would tangle itself like a hydra headed monster. No respite!

As usual, the watchdogs were quiet and it was only Business Standard who spoke out at length about the mess around here.

Phew!

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