CBI to approach AG for fresh opinion following differences
Last Updated: Sunday, September 25, 2011 - 18:18
New Delhi: CBI will approach Attorney General G E Vahanvati for fresh opinion after its legal department differed with the agency's findings on cross- holding of shares of Essar in Loop Telecom in connection with the 2G scam, contending there is no ground for a case against it.
Sources said the agency's Department of Prosecution (DoP) opinion is similar to the one given by the Corporate Affairs Ministry.
CBI had earlier submitted its findings on cross-holding of shares of Essar in Loop Telecom to its legal wing for opinion following differences in probe between it and Corporate Affairs Ministry which said the Ruias-led group held only 2.15 percent stake in Loop Telecom and not over 10 percent as alleged when 2G licence was granted.
CBI has claimed so far that the cross-holding of shares of Essar in the Loop Telecom was higher than the prescribed 10 percent, a charge denied by both the companies.
"The DoP has opined that there is no scope for case against Essar on the issue of having more than permissible stake in Loop Telecom. Their opinion is same as Corporate Affairs Ministry," a source said.
The Registrar of Companies (Mumbai) had said, "The Essar Group, directly or indirectly, held only 2.15 percent of Loop Telecom as on September 03,2007 i.e. the date on which the application was made to DoT for UAS licence".
The RoC letter also said that the documents of the company do not substantiate "Associate" relationship between "Essar Group and Khaitan Group" as alleged.
The CBI has been contesting the claims of Essar and Reliance saying that both the companies held more than 10 percent of shares in Loop and Swan when the spectrum was allocated to them, a charge rebutted by both the companies.
First Published: Sunday, September 25, 2011 - 18:18