The Enforcement Directorate (ED) has issued notice to telecom firm Aircel for alleged contravention of foreign exchange rules in connection with the 2G spectrum allocation case, official sources said.

The Directorate has asked the firm to explain a number of policy decisions taken by the firm which are suspected to have violated the 74 per cent Foreign Direct Investment (FDI) cap rules laid down by the Foreign Investment Promotion Board (FIPB).

The notice, according to the sources, has been issued under the provisions of the Foreign Exchange Management Act (FEMA) and is based on the earlier probe conducted by the CBI and the ED after allegations of unfair and corrupt practices were reported in Aircel's takeover by Malaysia-based Maxis group.

Earlier today former Telecom Minister Dayanidhi Maran was questioned by the CBI for over five hours on alleged irregularities in 2G spectrum allocation during his tenure.

The CBI had earlier this week also questioned his brother Kalanidhi Maran in connection with the preliminary enquiry in spectrum allocation during 2001-07 and allegations of pushing for Aircel takeover by Maxis group.

During the questioning, Maran is understood to have denied all the allegations against him including his role in the Aircel takeover by Maxis.

It has been alleged by former Aircel Chief C Sivasankaran that Maran as the then Telecom Minister favoured Maxis-group in the takeover of his company and in return investments were made by the company through Astro network in Sun TV owned by Maran family.

Both CBI and ED are looking into financial transactions of Sun TV and Maxis.