Top Scams Of India

What Is A Scam?
It is defined as obtaining money by means of deception including fake personalities, fake photos, fake template letters, non-existent addresses and phone numbers, forged documents.

Top Scams OF India

1. 2G Scam 2.Commonwealth Games Scam 3.Satyam Scam 4.IPL Scam

What is 2G?
2G means: Second-Generation Wireless Telephone Technology 2G is relatively new technology in the field of mobile. 2G is not just a network but a good technology. 2G spectrum was the revolutionary technology in their time, it comes with some more benefits.
1. SMS facility was first started with network. 2. Safe for the use, means security level was high. 3. Environmental conditions was very good for this network &no network shortage was there.

History of 2G
2G spectrum technology was first launched in 1991 in Finland only in the GSM mobile phones but this is not the latest technology that we are using. As 2G was launched in 1991 so many other technologies overcome it with 2.5G, 2.75G technologies but the latest technology in present world is 3G.

2G Spectrum Scam
WHAT IS SPECTRUM SCAM?
The 2G spectrum scan involved officials and ministers in the Government of India illegally undercharging mobile telephony companies for frequency allocation licenses, which they would use to create 2G subscriptions for cell phones. According to a report submitted by the Comptroller and Auditor General based on money collected from 3G licenses, the loss to the exchequer was176,379 crore (US$38.27 billion). The issuing of the 2G licenses occurred in 2008, but the scam came to public notice when the Indian Income Tax Department investigated political lobbyist Nira Radia and the Supreme Court of India took Subramaniam Swamy's complaints on record [With Case type:Writ Petition (Civil),Case No:10, Year:2011]. The case details of the main PIL filed with the supreme court is Type:Writ Petition (Civil),Case No:423, Year:2010.

Gov. awarded 122 telecom licenses with 2G spectrum in Jan 2008 at 2001 rates (Rs 1,685 cr) ignoring the current market value of the spectrum. As a Result Mobile subscriber base had shot up to 350 million in 2008 from 4 million in 2001

In February 2007, Hutch sold its 67% equity to Vodafone at Rs 75,000 cr signaling substantial increase in spectrum value

After obtaining licenses at cheap rates, the private companies sold (diluted) their equities to foreign telecom companies at a very high price

Shyam Telecom: Sold 74% to Sistema of Russia (MTS brand) - Unitech: Sold 67% to Telenor of Norway (Uninor brand) - Swan Telecom: Sold DB Group about 45% to Etisalat, UAE (Cheers brand) and 5% to Genex, Chennai - Tata Teleservice: Sold 26% to NTT of Japan (DoCoMo brand)

Category

Loss as per CAG New 2G value (R s. in Crore)

122 New licences 35 Dual Tech Licences

1,02,498 37,154

Spectrum Held in Excess of 6.2MHZ

36,993

Total Loss

1,76,645

WHAT ARE THE CHARGES ON FORMER TELECOM MINISTER A RAJA?

CHEAP TELECOM LICENSES Entry fee for spectrum licenses in 2008 pegged at 2001 prices Mobile subscriber base had shot up to 350 million in 2008 from 4million in 2001. NO PROCEDURES FOLLOWED Rules changed after the game had begun. Cut-off date for applications advanced by a week. Licenses issued on a first-come-first-served basis. No proper auction process followed, no bids invited. Raja ignored advice of TRAI, Law Ministry, Finance Ministry. TRAI had recommended auctioning of spectrum at market rates.

Person Involved in the 2G Spectrum Scam!

Andimuthu Raja or A. Raja (Former Telecom Minister)

Corporate personalities involved

Anil Ambani - Reliance Group Shahid Balwa - DB Realty and DB Etisalat (Swan Telecom) Vinod Goenka - Dynamix Group Venugopal Dhoot - Videocon Group Prashant Ruia - Essar Group
All of them have either been question by the CBI or are prospective suspects in the scam.

Media persons and Lobbyists involved

Nira Radia, a former airline entrepreneur turned corporate lobbyist whose conversations with politicians and corporate entities were recorded by the government authorities and leaked creating the Nira Radia tapes controversy.

Barkha Dutt, an NDTV journalist alleged to have lobbied for A.Raja's appointment as minister. Vir Sanghvi, a Hindustan Times editor alleged to have edited articles to reduce blame in the Nira Radia tapes.

Steps taken by Government after Scam

Set up a special branch of CBI to look into the matter. Telecom Minister resigns his post after Scam. A Raja also arrested by the CBI. CBI also arrested Mr Siddharatha Behura(Secretary of the Department of Telecommunications) (Secretary-DoT), and Mr RK Chandolia (PS to Mr Raja) or A Raja,

2 February 2012: The Supreme court of India cancelled all 122 licenses allotted during A Raja tenure and imposed Rs 5 crore(US$ 1,018,122) fine on Unitech, Swan & Tata Teleservices. It also imposed a fine of Rs 50 lakh on Loop Telecom Pvt Ltd, S-Tel, Allianz Infratech and Sistema Shyam Tele Services Ltd. It also asked trial court to decide whether Home Minister P Chidambram should be made co-accused in 2G scam. 4 February 2012: The special court of justice O.P Saini dismissed the plea of Subramanian Swamy to make then Finance Minister P.Chidambram as co-accused in the 2G scam

Common-Wealth-Games Scam
Commonwealth Games 2010, Delhi: National Shame, Or Scam?

The grand event was soaked in the allegations of corruption. Rs 36,000 crores or $8 billion scam!

Person Involved in the CommonWealth-Games Scam!

Suresh Kalmadi is an Indian politician and senior sports administrator.

Satyam Scam
The scam at Satyam Computer Services is something that will shatter the peace and tranquillity of Indian investors and shareholder community beyond repair.

Satyam is the biggest fraud in the corporate history to the tune of Rs. 14000 crore.

Person Involved in the Satyam Scam!

Ramalinga Raju, chair of Satyam Computer Services Ltd.

Indian Premier League (IPL) Scam

one of the world's richest sports leagues, which he almost single-handedly turned into a $4.1 billion enterprise

LALIT MODI