The CBI yesterday conducted searches in the offices of the wireless planning cell (WPC), the department responsible for allocating spectrum, and the office of Deputy Director General (Access Services) in New Delhi. Searches were conducted for collection of incriminating documents in the offices located at Sanchar Bhawan.      
The telecom ministry had come under attack for doling out spectrum at very cheap rates compared to its actual market value. The anti-corruption watchdog, CVC had recommended a CBI probe into the procedures followed for selecting companies for giving 2G spectrum after allegations of irregularities were made when two of the new players -- Unitech Wireless Services and Swan Telecom -- sold part of their stake at huge premium within days of getting the licences.      
In 2008, the government had issued new licences bundled with start-up 4.4 MHz spectrum at the cost of Rs 1,651 crore for pan-India operations. The existing players at that time had objected the entry of new players and demanded that radio waves be auctioned in the market. Apart from issuing new licences, DoT had also allowed usage of dual technology for offering mobile services, which benefited CDMA players such as Reliance Communications and Tata Teleservices.

There were reports at the time of the formation of the Union Cabinet that there was some hesitation, nay resistance in allotting the same portfolio to A Raja and that the DMK had insisted on the same portfolio for him.

A Raja has ruled out resignation in the wake of CBI searches in his ministry in connection with the controversial spectrum allotment issue. According to him, all decisions on spectrum licensing have been taken in accordance with procedures laid down by TRAI and in consultations with the Prime Minister.  His argument is that nowhere has the CBI pointed out that the Minister has had a role in spectrum allotment, an issue that is alleged to have caused a revenue loss of Rs 22,000 crore to the Government.

Ahead of the searches, the CBI registered a case against ‘unknown officials’ of DoT, private persons and companies under section 120-B (criminal conspiracy) and 13(i)(d) of Prevention of Corruption Act (A public servant committing criminal misconduct by indulging in corrupt means).

The Minister who heads the Ministry and who was heading it at the time of the alleged misconduct should, in all fairness, step down to pave way for a free, fair and impartial enquiry.  If he refuses to resign, the Prime Minister has other options before him.