2G Spectrum scam is huge; to the tune of thousands of crores cheated from public money. The specifics are still sub-judice; however, I am linking to the the “leaked report” which has been extensively reported in recent times by the lay press.

The entire article can be viewed here; although I don’t wish to skip over the juiciest parts (and something that I have always mentioned in this blog that is patently wrong with the auctions and the way it has been handled).

On First Come First Served Basis:

The Committee note that the First-Come-First-Served (FCFS) basis for the issue of Licences and Allocation of Spectrum has been followed by the Department on the argument that the announced UASL guidelines have made it open for new licences to be issued on continuous basis. The Committee’s scrutiny of the records reveal that in the Basic Service Licences guidelines, there is a reference to FCFS but nowhere in the UASL guidelines, the term FCFS has found a mention implying thereby it has no sanctity. In fact, on 24th November, 2003, the then Minister of Communications and IT had approved the Department’s proposal to give licence Spectrum on FCFS basis, but it was not codified in the UASL guidelines. Thus, there has been no such legally established principle as ‘FCFS’, at best it can be termed as a prescription to be followed for grant of licence/Spectrum…….

On Role of Media:

The Committee note that the brazen irregularities in the allotment of 2G spectrum and UAS licences were unravelled by some investigative journalists much before the Radia tapes came into the public domain. A journalist who played a stellar role in exposing the irregularities, on being asked about the sources of his information, replied that the information was collected through the RTIs and from some public-spirited insiders…..

Presumptive Loss:

….Intriguingly, neither the DoT nor the TRAI has quantified the precise loss. Unfortunately, the DoT instead of admitting an unconscionable act, advanced the plea that theoretical exercises based on economic modeling are fraught with simplistic assumptions and that no methodology can be suggested by them to calculate the loss…..The Committee feel that giving dual technology licence to the CDMA operators and new UAS licences in 2007-08 at a price determined in 2001 was not only imprudent but also smacks of a design.

Shortcomings in the Implementation aspect:

….While the first phase was implemented, the second phase was conveniently and intentionally, as subsequent events substantiate, overlooked. In the process, devising an efficient allocation formula for Spectrum alongwith an appropriate price remained unachieved as delinking the price of Spectrum from the issue of licences was given a go bye, disregarding the Cabinet decision. The Committee are deeply distressed that due to violation of the Cabinet decision and as a consequence of such deliberate omission, the issue of UAS license and allocation of Spectrum in 2007-08 at the price discovered in 2001 caused a staggering, but wholly avoidable, revenue loss…..

The Committee also desire that the price of Spectrum be delinked from the issue of licences without further delay and seek explanations as to why this important decision has not been implemented as yet…..

Role and Responsibility of TRAI:

The Committee note that the recommendations of the Telecom Regulatory Authority of India (TRAI) are not binding upon the Central Government. But it is mandatory for the Government to seek recommendation of the TRAI in respect of matters pertaining to the need and timing for introduction of new service providers and terms and conditions of licence to a service provider. But the Committee are surprised to note that while seeking TRAI’s recommendation on 13 April, 2007 on various issues, the DoT did not seek recommendations on grant of new licences despite the mandatory requirement. Even though the decisions of the Government is final whether to accept or reject the TRAI’s recommendation, not seeking such recommendations at all speaks volumes for the DoTs malafide designs to circumvent the established provisions in the TRAI Act..

So now we know that TRAI basically is a useless toothless regulator.

But TRAI is not above all. So read the following:

Besides, the Committee find TRAI’s flip-flop in its recommendations also contributed towards the Department’s arbitrary and unilateral decisions. For example, in 2003 TRAI recommended that as the existing players have to improve the efficiency of utilization of Spectrum and if Government ensures availability of additional Spectrum, then within the existing licensing regime, they may introduce additional players through a multistage bidding process as was followed in the case of introduction of the fourth cellular operator.

The bad news:

One aspect that engages the attention of the Committee is the fact that worldwide, especially in the developed countries, the licensing and Spectrum related functions are actually performed by the Regulators and not by the Government unlike in India. The Committee consider such a practice as one of the main reasons for the DoT’s arbitrary decisions in dealing with the consultation process with the Authority.

The big players have engaged the Department of Telecom and the TRAI executives get exemplary post retirement benefits as fancy board members. Of course, they are there to liaise with the existing bureaucrats setting up huge questions on conflict of interests. I really don’t know whether these clauses are in built in their “rules” but if you look at the RTI applications to make their assets public, these faceless bastards need to be more accountable. Not all of them are like that but the blackest of the black sheep are bringing a huge shame to rest of the community.

Pathetic. Ours is totally a banana republic.

On 3G Spectrum (Which I personally feel has been “over-inflated”):

The Committee are happy to note that the auction of 3G Spectrum through an open and transparent bidding process has established the true value of the finite scare resource. However, as apprehension has been raised at many quarters that by paying such hefty amount to get 3G Spectrum, the successful bidders might pass on the burden to the consumers, the Committee impress upon the TRAI to keep a watch on the development in this regard and protect the interest of the consumer in tandem with the DoT.

Hope you are feeling bad enough by reading this sorry state of affairs.

Related articles

• ‘Raja manipulated Telecom Commission’ (hindu.com)
• National Spectrum Act proposed (hindu.com)
• 2G Spectrum .CAG Report. (ramanan50.wordpress.com)
• 2G-Criminal Conspiracy Charge against Essar,Reliance Communications? (ramanan50.wordpress.com)
• PAC draft report puts 2G loss at Rs.1.90 lakh crore (hindu.com)
• Charge sheet identical to CAG findings (hindu.com)
• Arun Shourie to appear before CBI on February 21 (hindu.com)
• US Highlights 2G Scam is Unhealthy For Indian Telecom Market (telecomjunction.wordpress.com)

Tags: 3G, author, CDMA, Department of Telecom, DoT, GUI, India, journalist, Media, Opera, Piracy, Reliance, scam, Spectrum, Telecommunications India, Telecommunications India, TRAI

A little while back, Rajesh Jain had run a “Big Idea for India” contest. He has touched on many issues in his previous posts; there was a lack of serious debate on Broadband. This contest was open to all; I had mailed my entry to Rajesh on his email.
He had received over 150 responses for the same.

Jain announced the winners recently; in which yours truly has also figured (the names are in an random order). The contest was judged by Jain and Atanu Dey (whose blog is linked to in the blog roll in side bar). Of course, he has been a huge influence in shaping up my thought process and I owe a lot to him.

The post, in it’s entirety follows here. For the regular readers, there is nothing new because I have already touched on these issues in the previous posts extensively.

This is one answer and highly underrated option. The following scenario is envisaged:

1) Optic fibres running across to get the data without caps. We need fibre to home instead of outdated copper. Last mile access is contentious; while opening up last mile for private players is contentious, this needs to be debated. Britain has opened it up under strict regulations and British Telecom has been forced to upgrade it’s infrastructure to retain customers.

2) Heavy public investment for scalable architechture. Not 3G guzzling up spectrum but community Wifi’s (pay per use or perhap involving the municipalities making the people accountable directly for the level of involvement).

3) Create an ecosystem of open source applications to harness ideas; make it easier for people to access services. (Open Source standards promote interoperability; closed source is meant for perpetual profiteering at public’s expense).

4) Opening up the Government’s accumulated data through API’s etc; create models around it. For e.g., data from GPS installed in public transport would easily display the estimated arrival time through SMS if needed on the mobile phones. (“Hacker culture” is missing in India; most of the Bangalore flotsam is moronic army of debuggers and script kiddies).

5) Teleconferencing would make it easier for people to people contacts; Gujarat has shown the way! Why can’t India have something similar to Skype? (There is a move to have something similar in the GNU world where encryption would be based on open standards).

6) Education sector would get a boost; not only invite faculty, stream educational videos, hold tele-sessions but teach kids for a wonderful world of Internet. (Pilot experiments in Bihar/Gujarat have been well received; the idea needs scaling up).

7) Spin off benefits from e-commerce applications.

The potential is huge; if you are planning it to share with BJP, the easiest way out is to break the ISP‘s monopoly, hold TRAI responsible for execution (not DoT) and revise Broadband definition to at least 2 Mbps (UNLIMITED, WITHOUT any caps).

Thanks Rajesh!

Tags: 1Mbps, 3G, 512k delights!, Access Deficit Charge, API, Assholes, Broadband, Broadband access, Broadband in India, Broadband India, Broadband pricing, Broadband SUCKS, Broadband Updates, BSNL Broadband, BSNL India, BSNL sucks, DoT, DTH, EDGE, fraud, Fraudband, gas belching old haggards, India, Indian Telecom sucks, Indians, Internet, ISP's, mainstream media, Mobile, mobile phones, Ofcom, Open Government, Open Source, open source applications, Opera, SMS, Social Issues, Spectrum, Telecommunications India, Telecommunications India, TRAI, Unlimited pricing, Wifi, Wireless, Wirless broadband

Lokpal Bill has gathered dust for over past 8-9 lok sabha sessions. The basic premise is that there ought to be an accountability in the system as an ombudsman to overlook any complaints. The past three months have been stormy for some because the biggies have been caught in the vortex of corruption. However, there is much more than this that meets the eye.

I usually refrain from making any political posts here because this is not the right platform. However, I do assume that readers have some basic iota of knowledge about polity and make genuine efforts to seek out information. Admittedly, the blog roll has been trimmed down over the past few months but is an enough indication to seek news from alternative sources. Hence, I also rely heavily on different opinions to balance out the events as they unfold or else the media, in cahoots with the powers, is able to pull wool over the eyes.

As I have mentioned earlier, one of the major limitations of blogs is it’s discovery of content. Unless, it is spread far and wide, it would remain hidden. A vast legion and an army of morons descends on Twitter and Facebook which makes an engaging discussion, nearly impossible. I do miss the earlier interaction with like minded folks on the forums but right now it is swamped with idiots; the same ones who shouldn’t have populated the earth in the first place.

Nevertheless, first the 2G scam. It was actually “unleashed” by Congress as a careful calculated move to deflect attention from Commonwealth Games fiasco and overt attention from Gandhis who have actually benefitted from the windfall. It is not possible to point in the exact figure but we can be assured that it is a tidy sum stashed away in havens and far from the public scrutiny. Another calculated move was to discredit the ruling DMK regime and force them on the backfoot for poll understandings and fine tune CBI to extract maximum political mileage. When it was clear that this has not ensured the required “effect” i.e. people rising in revolt, Raja was held and packed away to Tihar Jail.

Although, it sounds like a conspiracy theory, any political observer worth his/her salt would not deny the way events unfolded. In a place like Tamil Nadu, where Congress by itself would not have been able to make any dent (given it’s near absence and lack of charisma in Southern States), DMK is still the best bet. So after wresting the key seat sharing agreement, DMK and Congress are still in the alliance and would face the electorate together. It’s surprising, that despite the “North Indian’s face” in North, it is aligning itself with a party that has steadfastly kept “anti north indian” stance. In short, regional chauvinism reigns surpreme and no one questions them.

This was later followed by a stalled parliament with a constitution of a PAC and a JPC; statuatory bodies under Parliament of India which is oddly making some news off and on and was agreed to after supposedly considerable lobbying efforts by the opposition. It’s wisdom may well be questioned; as far as I am aware of, it is a fact finding mission but does not prosecute. This again has ensured that public attention is deflected away from the massive commonwealth games fiasco; there is no iota of doubt that Kalmadi and his team are mere fronts for people in power to siphon off public money.

Now comes the “lokpal bill” and the balding gandhian asshole called as Hazare. The timing of his plank as “anti-corruption” is a huge suspect. But first, a reality check on the lokpal bill or what has been offered to the Government:

Jan Lokpal Bill is open ended and confers unlimited powers. So it goes without saying that selecting the Lok Pal Members is the single most important task.  There are no checks and balances at all in the bill that would make it idiot member proof.   In other words, if the mainstream institutions have been compromised, there is NOTHING in the bill that would prevent the Lokpal from being compromised too.  It gets worse because of two reasons.

1. The mainstream institutions (CVC, CBI, CAG, etc) can be turned around by people power every 5 years. That it doesnt seem to happen is due to there not being enough free agent voters in the system.  We can hope for a 20-25% increase in free agent voters which will straighten these institutions in short time.
2. A compromised Lokpal will wreak havoc and lay to waste the other institutions. There is no chance of getting them voted out.

The timing is circumspect.

Sandhya Jain hits the nail right on the head: (emphasis mine throughout).

Anna Hazare’s so-called fast-unto-death is questionable for its anti-democratic disdain for elected government and people’s representatives. The timing is equally suspect – right after the adjournment of Parliament after passing the Union Budget. It may be recalled that Prime Minister Manmohan Singh was forced to gift Rs. 40,000/- crores to the leaky MREGA project favoured by Congress president Sonia Gandhi and her unelected friends in the National Advisory Council; his attempts to curtail this hole in the exchequer enraged her.

As if on cue, Hazare, NAC cronies, Rockefeller Foundation-funded Magsaysay Award winners, and other usual suspects, ganged up against the besieged prime minister…..If laws are to be adopted and enacted in this manner, do we need either government or Parliament?

My point is that he is instigating the middle class intelligentsia that comes to hear him at Jantar Mantar – and neither he nor any of his allies is a grassroots mass leader ……..he moots an unelected oligarchy. This does not bode well for the nation or the society.

Sandhya Jain goes on to write:
…..the idea that Magsaysay Award-winning Indians should figure in the Lokpal selection panel. This stinks of an American hand….. we shall never know what kind of private networking could take place in government and bureaucracy via its favoured persons, to further Rockefeller interests.

India’s high profile elites derive status from the international NGO cocktail circuit. Their insatiable quest for funds and glory makes them adopt ideas and concepts without examining their validity in an Indian context. As they are very conscious of their elite status, they have unacceptable contempt for the people and their elected representatives.

We cannot endorse these non-accountable and glittering Western satellites.

Compare and contrast with what Times of India’s Shalini Singh has to write about it.

Although she rallies against the CBI for filing improper chargesheet, she praises Hazare for his stand.

The CBI’s latest chargesheet in the 2G scam investigation…… Timid and short on detail,it serves more as a lesson for students of law and police academies on how not to make a chargesheet.

…..clean chit to the Prime Minister (4 pages), the attorney general (2 pages) and the Tatas (7 pages).

The 60-page final report does not have a single line to prove corruption nor does it even remotely mention the evidence….

Shalini writes further:

…. it is not keen on fulfilling its own mandate of a statutory investigating agency, the CBI has assumed the role of an auditor instead. This is an important move, which helps create a mid-point of Rs 30,984.55 crore between the CAG’s Rs 1.76 lakh crore revenue loss figure, which is accurately based on TRAI recommendations equating 2G spectrum with 3G spectrum, and telecom minister Kapil Sibal’s irreverent and indeed outright frivolous “zero loss” premise.

Anna Hazare’s agitation is timely, appropriate and critical. The CBI making a joke of the 2G scam investigation despite the Supreme Court’s best efforts shows how desperately India needs anti-corruption laws and institutions like the Lokpal to bring in the changes that Hazare and others in civil society seek.

I haven’t seen the chargesheet (and neither I am a legal expert in these matters) so it’s hard to express solidiarity with Shalini’s assertions. It is also pertinent to note that she has been writing about the 2G scam over the period of time, so it needs to be taken with a pinch of salt. I don’t want to write anything else about TOI because they have a history of suing independent bloggers and I don’t want a lame dick dingbat to send me a legal notice.

Jokes apart, the present course of events is muddy. No one can claim authority but everything is weighed and calculated to make matters worse for spirited and ordinary citizens. It is difficult to separate the chaff from the grain and interestingly, some of the mainstream publications in English Language Media have been critical of this balding asshole. However, its not really surprsing because the ELM (English Language Media); specifically the newspapers tend to toe the press releases issued by the Government of India.

With these limitations (of the blogging platform) and the din of thousands of idiots collectively crowing as representative of the civil society, it’s impossible to break through the logjam. Still, I seriously hope that sane people in this country get enough ejection velocity to get out of this nation for good because we have turned into a banana republic. It’s bad enough. Really.

Tags: 3G, API, author, Corruption, EDGE, Idiots, India, Indians, Media, Piracy, Prime Minister, scam, Spectrum, Tata, Tatas, Telecommunications India, Tihar Jail, Times of India, TRAI, Twitter