The Comptroller and Auditor General (CAG) clarified on Monday that an audit by the Indian Audit and Accounts department of the Department of Space was at a "very preliminary stage" and could not be concluded as final findings.
A media report claimed the CAG has initiated probe into Indian Space Research Organisation's (Isro) deal with a Bangalore-based firm for the launch of two satellites besides allegedly providing 70 MHz of S-band spectrum for 20 years without a proper bidding process.
The report quoted the preliminary CAG audit estimates the spectrum allocation could have caused the exchequer a loss in excess of Rs 2 lakh crore.
Reacting to the report, CAG said, "The news item gives the impression as if our audit has been finalised, whereas, the audit of certain activities of the department of Space is under way."
"Since the audit is at a very preliminary stage, it can by no stretch of imagination, be concluded that information as given in the media reports are findings of this department," the office of the CAG clarified.
The government is reviewing the spectrum deal between Antrix, the commercial arm of Isro, and Devas, a Bangalore-based firm, independent of the CAG probe, the department of space said on Monday evening.
The department of space said the "government will take whatever steps are necessary to safeguard public interest".
Isro sources also questioned reports on alleged revenue loss.