In a separate judgment, a special court here on Thursday acquitted Essar Group promoters Ravi Kant Ruia and Anshuman Ruia, its official Vikash Saraf and Loop Telecom promoters I.P. Khaitan and Kiran Khaitan in the 2G spectrum allocation case.
Special Judge O.P. Saini also acquitted Loop Telecom Limited, Loop Mobile India Limited and Essar Teleholdings Limited.
According to the prosecution, Loop Telecom Limited, which had applied for UAS licences in 21 telecom circles in September 2007, was a front company of the Essar Group. Loop Mobile India Ltd. had been operating a UAS licence since 2005 in the Mumbai Service Area.
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It was alleged that the Essar Group, which already had a stake of 33% in Vodafone Essar Ltd., a telecom operator in all 22 telecom circles, was controlling substantial stake in the aforesaid two companies in violation of the UAS guidelines and UAS licence agreements signed by Vodafone Essar Ltd. with the Department of Telecom.
It was further alleged that the accused persons belonging to Loop Telecom Ltd., Loop Mobile India Ltd. and the Essar Group fraudulently suppressed the facts of association of the two Loop companies with the Essar Group of companies while applying for new licences to the DoT, in order that the DoT considered these companies as entities which are not substantially controlled by the Essar Group or are associates of the Essar Group.
These accused persons dishonestly or fraudulently got 21 new UAS licences and continue to operate the Mumbai licence of Loop in contravention of the applicable guidelines, the CBI further charged.
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Acquitting all the accused persons, the Special Judge said: “In the instant case, there is no material on record to show that the applications for 21 UAS licences were filed at the instance of Mr. Vikash Saraf. There is also no evidence that in the filing of applications Mr. Ravi Kant Ruia, Mr. Anshuman Ruia or Kiran Khaitan were involved. The evidence is to the effect that the applications were filed at the instance of I.P. Khaitan, which version matches with the record. Thus, there is no evidence indicating any deception of DoT by any of the accused.”
“In view of the above detailed discussion, the prosecution has not been successful in proving any of the ingredients, either of the offence of conspiracy to cheat the DoT or of the substantive offence of cheating. Accordingly, I have absolutely no hesitation in holding that prosecution has miserably failed to prove any charge against any of the accused. Consequently, all the accused are entitled to be acquitted and are accordingly acquitted,” the judge said.