Ambani questioned in telecom scam
FE Team | Published: April 06, 2011 00:00:00 | Updated: February 01, 2018 00:00:00
NEW DELHI, April 5 (AFP): Indian billionaire Anil Ambani was called before a powerful parliamentary committee Tuesday for what promised to be an uncomfortable hearing into a multi-billion-dollar telecom fraud.
Ambani, who heads Reliance ADA, was set to give "oral evidence" before the 13-member Public Accounts Committee (PAC) over the allegedly fraudulent distribution of licences in 2008 to top telecom firms at throwaway prices.
His company, Reliance Telecom, a unit of Reliance Communications, has been charged by police in the case and Ambani was expected to be questioned about this. Three Reliance executives are also to stand trial.
The telecom scandal has tarnished the reputation of the government, and has also raised anxiety about corruption and its impact on business in India.
The national auditor has said the alleged spectrum fraud may have cost the government $40 billion in lost revenues.
Last week police charged the former telecom minister A Raja with abuse of power, conspiracy, cheating, forgery and criminal misconduct.
The parliament's PAC, a permanent body comprising lawmakers and retired judges, is leading one of a number of investigations into the scam, potentially the biggest in Indian history.
Last Monday, the parliamentary watchdog headed by Murli Manohar Joshi, senior member of main opposition Bharatiya Janata Party, questioned India's most respected business figure Ratan Tata who heads the Tata conglomerate.
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