A day after being accused of unduly favouring Anil Ambani's Reliance Communications, Union Telecom Minister Kapil Sibal on Friday lashed out at an NGO that petitioned the Supreme Court against him.
Dismissing the charges as “malicious, motivated and defamatory”, Sibal said “public interest litigations (PILs) should not be used to settle scores”. The minister said the decision to impose Rs 5 crore penalty on the company for briefly interrupting services was as per an agreement between the Universal Service Obligation Fund (USOF) and the private operator.
In a hurriedly called press conference, Sibal said: “I am deeply grieved by what is happening by the PIL filed by an NGO in the apex court stating that the telecom minister has abused his power to reduce penalty on Reliance Communications.”
In its application filed in the Supreme Court, the NGO, Centre for Public Interest Litigation, alleged that Sibal reduced the penalty from Rs 650 crore to Rs 5 crore against Reliance Communications for violations in the unified access service licence (UASL) agreement.
The minister questioned how the NGO arrived at the Rs 650-crore figure.
Sibal, who was in an agitated mood through out the press conference, virtually attacked civil society and the media. Alleging that PILs were being misused, he said it should not be “used to settle personal scores”. Sibal also hit out at the media saying it should not sensationalise false news.
Without elaborating on personal score, Sibal said: “The government cannot function this way. A minister cannot take a decision... If any decision you take is contrary to what is suggested by A, B and C, he becomes dishonest.”
But he added that “people have built reputations over years. It is easy for you to destroy them.”
However, when a barrage of questions was thrown at him over the PIL which questioned the minister’s decision, Sibal was evasive. Anil Ambani’s Reliance Communications had stopped services in some areas in November 2010.
Following this, a notice was served on the company on December 21, under what is called the USOF agreement, asking why a penalty of Rs 50 crore should not be imposed on it.
However, as minister, Sibal allegedly reduced the penalty to Rs 5 crore, and finally the company paid Rs 5.5 crore in fine and restored services on February 16, 2011.
Defends action
Defending his decision to reduce the penalty amount, Sibal said when the file reached him on February 18, 2011, the company had already restored services.
He said he then gave instructions to impose the penalty as per the provisions of the agreement and did not decide the penalty amount of Rs 5 crore.
In its application, the NGO alleged that a penalty of Rs 50 crore per circle should have been imposed for “violation of the terms and conditions of the USOF agreement and the UASL agreement by voluntary, unilateral and unauthorised switching-off/closure of services to subscribers from USOF sites without any notice.”
Rejecting the fine amount was Rs 650 crore, Sibal maintained that the penalty was calculated on the basis of duration of disruption of services (7-45 days) as provided in the agreement between USOF and RCom.
‘Per agreement’
“The penalty on the ADAG firm was as per the agreement between the USOF and Reliance Telecom. The DoT had nothing to do with the penalty as the company had not violated the rules of licence conditions,” Sibal said.
He, however, was evasive when asked on what basis Rs 50 crore was decided as the penalty amount.
Cabinet reshuffle likely next week
The much-awaited reshuffle of the Union Cabinet may be held next week after Union Finance Minister Pranab Mukherjee returns from Chennai, where he will hold discussions with DMK patriarch M Karunanidhi on Saturday, DHNS reports from New Delhi.