2G case: $17bn worth Ruias of Essar now in CBI net
The CBI on Monday pulled into the 2G spectrum scam net Essar group promoters Ravikant Ruia and Anshuman Ruia, part of the $17-billion Essar empire that runs companies in more than 25 countries. HT reports. Essar-Loop Link | Honchos in the netdelhi Updated: Dec 13, 2011 02:21 IST
They have been charged with cheating the department of telecommunications by using a front company, Loop Telecom, to get unified access service licences for 21 circles.
Ruia’s sister, Kiran Khaitan, and her husband, IP Khaitan, promoter of Loop and of the Dubai-based Khaitan group of companies, have also been charged. Anshuman Ruia is Essar group chairman Shashi Ruia’s son and Ravikant’s nephew.
The CBI has alleged that Loop was ineligible to get 2G licences as it was a front company for the Essar group, which was already into telecom.
Essar has denied this, saying its holding in Loop was far below the legal limit of 10% an existing player can hold in another telecom firm applying for 2G licences in the same circle. “We would like to reiterate that Essar has complied with all conditions,” said an Essar spokesperson.
Besides the Ruias and Khaitans, Essar group director Vikas Saraf and three companies — Loop Telecom Ltd (earlier Loop Telecom Private Limited and Shippingstop Dot Com [India] Private Limited), Loop Mobile India Ltd (earlier BPL Mobile Communications Limited) and Essar Teleholding Ltd — have been named accused.