CBI has favoured departmental action against a former legal advisor to the then Telecom Minister A Raja, who is now in jail, for allegedly suppressing facts in the case of Loop Telecom and the shareholding of Essar in it.

CBI, in its chargesheet, has listed in a chronological order the manner in which various telecom companies had approached the Ministry in 2007 and how legal advisor Santokh Singh, who was shunted from the Telcom Ministry last year, allegedly suppressed the facts in presenting the case of various telecom companies while awarding spectrum in 2008.

Singh has been accused of having "wrongfully" advised allottment of permits to Loop Telecom mobile and the agency claims he was aware that the company was in alleged violation of telecom guidelines.

Essar and Loop telecom have denied any wrong doing in the case and maintained that its stakes were just 2.15 per cent in the latter owned by Dubai-based Khaitan family.

Both the companies have decided to take a legal recourse in this case.

When contacted Singh, who has since retired, refused to comment on the development.

Singh, an official of the Indian Legal Services, had been sent back to his parent Law Ministry on November 2010, two months ahead of his retirement. He could not be contacted for his reaction.

CBI filed its chargesheet before special judge O P Saini, trying the 2G spectrum cases, yesterday against Ravi Ruia, Anshuman Ruia, I P Khaitan, Kiran Khaitan, Group Director (Essar) Vikas Saraf and three companies Loop Telecom, Loop Mobile India and Essar Teleholdings Ltd.