'CBI selectively targeting some in 2G case'

NEW DELHI, INDIA: Swan Telecom promoter Shahid Usman Balwa on Monday told a Delhi court that the Central Bureau of Investigation (CBI) was selectively targeting some firms in the 2G spectrum case.

Slamming the CAG report, which said the 2G spectrum allocation caused Rs 1.76 lakh crore to the exchequer, the DB Realty promoter also said the the report was exaggerated. Swan Telecom was a joint venture between Etisalat and DB Realty.

He also asked how could he have caused a loss to the national exchequer when the Prime Minister and Communications Minister Kapil Sibal have said that there was no loss in the 2G case.

"The exact loss to the exchequer declared by the CBI is based on the assumption that if there was an option (of auctioning spectrum), then what is the amount of profit it could get...when there was no option, then there is no question of loss incurred," said Majid Memon, counsel for Balwa who is in jail for alleged involvement in the 2G scam.

'If there was a loss, then who is responsible for it?'

Counsel also posed three questions to the CBI - if there was a loss, then who is responsible for it? Was Swan Telecom ineligible when it got the licence on January 10, 2008? And was Swan ineligible for presenting the application while applying for licences? "If yes, then why wasn't any action taken, why were they not stopped?" Memon asked.

"I am here because of my business rivals. CBI is favouring a few people and targeting others," Memon said arguing in defence of Balwa.

The defence counsel said that according to the CBI, the quantum of loss in giving licences in 122 circles is Rs. 22,000 crore, but Balwas are not holders of all 122 circles.

"If I assume that I have caused a loss of Rs.7,015 crore, then why is the CBI not taking an action against the people responsible for the other losses...why this selective manner of prosecution," Memon asked.

Counsel added that the current Communications Minister Kapil Sibal had categorically stated that there was no loss in the 2G case.

"Who can know better than him? He is a responsible minister and hence will not make an irresponsible statement...he made the statement after he got the feed by a team of his people," Memon said.

"Sixteen months after the FIR was registered, the Prime Minister gave a statement in the Lok Sabha that there was no loss in the 2G case. The government of India is the main victim in this case. Why didn't the CBI write a letter to any minister or relevant person in the government who could tell about the actual loss to the exchequer?" Memon added.