Landmark 2G Verdict | SC Cancels 122 Licences Post Jan 2008 | Relief For Chidambaram In 2G Case

Thursday, Feb 02, 2012 2G VERDICT: SC CANCELS 122 LICENCES POST JAN 2008   Delivering a huge blow to the UPA Government and what could lead to a major shake-up in the Telecom sector, the Supreme Court in a landmark judgment on Thursday cancelled the 122 spectrum licences issued on or after January 10, 2008 during the tenure of the then Telecom Minister, A. Raja. The court said that within two months, TRAI shall make fresh recommendations for grant of licence and allocation of spectrum in 2G band in 22 service areas. The Centre to consider the TRAI recommendations and take appropriate decision within next one month, adding that fresh licences be granted then by auction. The telecom operators can operate the cancelled licences for another four months on market rate payment. The biggest losers are said to be Swan, Uninor and Sistema. Bharti Airtel will be the biggest gainer. Out of the 122 licenses, 21 belongs to Videocon , Uninor holds 22, Idea 9, Tata Teleserv ices 3, Swan Telecom 13 and Loop 21.    2G SCAM: CHIDU'S MATTER REFERRED TO TRIAL COURT   In what can be seen as partial relief to Home Minister P Chidambaram about his alleged role in the 2G scam, the Supreme Court referred the matter of whether his role should be probed back to the trial court. The apex court said that the trial court should decide the matter within two weeks. The matter will now be heard on February 4.  LEAD STORIES SENSEX UP 131 POINTS LED BY IT, METAL STOCKS Markets rose due to firm Asian cues, sustained buying by funds and good Q4 earnings. Sensex ended 17,431.85. Nifty closed 5,269.90 up 34.20 points. read more TOP STORIES • Funded exposure of Rs 1,100 cr to telecom sector: SBI   • Customers won't be affected: TRAI on 2G order   • Shocked at penalty for faults in govt process: Uninor   • Unfortunate that we are being made to suffer: Idea   • Bharti scrip sprints 6.88%, other telecom stocks dive   • I will prove that Mr Chidambaram is a crook: Swamy   • 3G roaming: TDSAT adjourns hearing to Feb 16   • Govt likely to sell stakes in BHEL via auction route   • Oil companies halt fuel supplies to Air India   • Gold hits 8-week high as investors bet on more gains   • Rupee at 3-month high, up 12 paise at 49.15 vs $   • Cairn India CEO sells half his stake for Rs 51 cr   • Coal India doubles FY12 dividend to govt at Rs 5,684 cr   • Ambuja, ACC clock robust cement sales in Jan   • Govt discontinues weekly release of WPI inflation   • Equity MFs post best monthly return since May 2009   • Boost to Navi Mumbai airport; HC allows land transfer   TOP VIDEOS Will Decide On Exit Policies For Telcos In 10 Days; Aggrieved Parties Can Move Court To Save Investments: Kapil Sibal, Union Telecom Minister   Telecom Sector Has Evolved And Auction Will Be The Method Of Allocation Going Ahead: J S Sarma, Chariman, TRAI   The Rising PMI Number Indicates The Possibility Of A Likely Uplift In Corporate Performance: Naina Lal Kidwai, Group GM & Country Head, HSBC India   AT A GLANCE BSE 17431.85 +131.27 NSE 5269.9 +34.2 TURNOVER Rs. 142,881 cr BSE CASH Rs. 3,615 cr NSE CASH Rs. 18,511 cr NSE F&O Rs. 120,754 cr BULLION GOLD 28076 -7 SILVER 56605 -229 CRUDE NYMEX 96.91 -0.7 BRENT 112.29 +0.73 FOREX $ / Re 49.165 -0.1 £ / Re 77.672 -0.1 € / Re 64.383 -0.26 EVENTS TO WATCH 7 February Finance Ministry To Meet Stock Exchanges' Officials, New Delhi CEO Summit 2012 On Global Finanacial Crisis - "Opportunities And Challenges For Indian Business" Organized PwC-Business Standard, New Delhi 14 February Empowered Group Of Ministers Headed By Finance Minister Pranab Mukherjee To Meet On Natural Gas Allocation Policy 16 February TDSAT To Hear 3G Roaming Controversy, New Delhi GoM To Examine New Urea Investment Policy, New Delhi "Companies that are serious about wanting to continue in the telecom business they can pay the market price and get the licenses to be continued. They have not said that all the licenses be automatically auctioned. They have said that market price should be realized." Subramanium Swamy Chief Petitioner, 2G Case "The nation has gone through a period of uncertainty for almost one and half years since 2010 and the telecom sector has greatly suffered because of this uncertainty...At last the SC judgement has brought clarity to the sector...at least on some of the issues, so, to that extent we welcome the judgement of the Supreme Court Kapil Sibal Telecom Minister "Abrupt cancellation of 122 licences will have its own enormous impact not only on those who are facing trial or those who are recipient of alleged improper licences, but its also going to be extended to several other innocent sections and the people who have committed no wrong and that would certainly mean it would result in miscarriage of justice to that extent." Majid Memon Senior Lawyer