Thomas had opposed Antrix-Devas deal as telecom secretary

12 Feb 2011

During his stint as telecom secretary, central vigilance commissioner P J Thomas, had raised a series of objections to the Antrix-Devas Multimedia deal, according to documents accessed by The Times of India.

Last July, Thomas had suggested that Devas should be asked to pay spectrum charges in line with the charges paid by bidders for broadband wireless spectrum. He pointed out that the auction for the spectrum had fetched Rs12,848 crore for 20Mhz spectrum on pan-India basis last year.

He had also cited TRAI recommendations that had called for auction of the spectrum in the frequency proposed to be used by Devas. A major concern voiced by the former telecom secretary related to the use of spectrum strictly for strategic purposes and not for the commercial application as was being proposed by Devas.

He had also suggested consultation with the I&B ministry to maintain a level playing field with the FM radio sector that had been privatised.

Meanwhile in an effort to salvage a deal that has turned controversial, Devas Multimedia has written to prime minister Manmohan Singh that it would be willing to face a review of the lease agreement with Antrix Corporation even as the Bangalore-based company sought a meeting with him to clarify its position. ''We are ready for any review that you may wish to have on the company and on the agreement,'' the letter says in conclusion.

The letter came ahead of a crucial meeting of the Space Commission today that will likely determine the fate of the 2005 agreement between Devas and Antrix.