The deputy comptroller and auditor general (CAG)  Rekha Gupta on Monday stated that the CAG audit report on issuance and allocation of 2G spectrum has been tabled in the Parliament and any further action on the same rests with the Public Accounts Committee (PAC) of Parliament.  Gupta was speaking in a press briefing on the highlights of CAG audit report on issuance and allocation of 2G spectrum.

The report gives a clean chit to the prime minister, minister of law and justice, finance secretary, telecom secretary and member (finance) of telecom commission highlighting that they were not in favour of hasty allotment of licenses without revision of spectrum prices. However the report is silent on in-action of all above.

The report calculates presumptive loss to the exchequer through four methods. On basis of the rates of 3G auction the loss is estimated at 1.76 lakh crores. The loss on basis of sale of equity by the new licenses is estimated at .69 lakh crore (in case of Unitech) and .57 crore (in case of Swan). The loss in case of proposed offer by S Tel is estimated at .67 lakh crore.

R P Singh, director general, CAG in a presentation stated that department of telecom overlooked the suggestions of ministry of finance, ministry of law and justice and the prime minister. He also highlighted that the opinion of attorney general was felt to be out of context at the level of minister of communication and IT.

The CAG report highlights that even the first come first served (FCFS) policy was deviated and the issue of letters of intent was restricted to applications receipt upto September 25, 2007. The report also highlights that 85 out of 122 licenses issued in 2008 were to the ineligible companies.