Taking note of reports that CAG is investigating the loss of nearly Rs 2 lakh crore in the allotment of scarce S-band spectrum, the BJP asked Prime Minister to clear the air, initiate an inquiry and take steps to recover the lost revenue.

BJP and the Left parties on Monday demanded a thorough probe into a reported deal between Antrix Corporation, Indian Space Research Organisation (ISRO’s) commercial arm, with Devas Multimedia Private Ltd that allegedly confers unbridled use of 70 MHz of scarce S-band spectrum over a 20 year-period.

An English daily report claimed that preliminary estimates by Comptroller and Auditor General (CAG) has placed the loss to the exchequer on account of the deal at Rs. two lakh crore.

In a statement on Monday, the Comptroller and Auditor General (CAG) said its attention has been drawn to reports appearing in media regarding audit being undertaken by Audit and Accounts Department of DoS.

“The news item gives the impression as if our audit has been finalised. This office clarifies that audit of certain activities of DoS is under way.

“Very preliminary queries have been raised which are yet to be replied by that department. Since the audit is at very preliminary stage, it can by no stretch of imagination, be concluded that information as given in the media reports are findings of this department,” the CAG statement said.

The BJP wanted Prime Minister Manmohan Singh to clarify on the issue.

Since the Department of Space is directly under the Prime Minister, he should immediately clarify his stand on the whole issue, BJP spokesperson Nirmala Sitharaman said in New Delhi on Monday.

“We demand a comprehensive inquiry to establish the criminality in the whole matter. We also demand recovery of the lost revenue,” she said.

Congress refused to comment on the merit of the case saying it was for Parliament’s Public Accounts Committee (PAC) to examine any matter that causes a loss to the exchequer.

“There is a standard procedure. Whenever the CAG finds something that has caused loss to the government, it automatically goes to the PAC. I hope this matter also goes to the PAC,” Congress spokesman Shakeel Ahmed said on Monday.

Left parties said the news reports pointed towards a “new scam” and demanded a “thorough probe” into the matter.

“This is a new issue. The ISRO is under the Department of Space which is under Prime Minister. This is also a new scam,” CPI(M) Politburo member Sitaram Yechury said.

CPI National Secretary D Raja said the new revelations were “very serious”, a view echoed by senior RSP leader Abani Roy who demanded that the matter be brought under the JPC into 2G spectrum allocations.

Audit of space dept deal on: CAG

The Comptroller and Auditor General on Monday said that audit of certain activities of Department of Space (DoS) were under way but made it clear that media reports on alleged scam in a deal between ISRO and a private firm cannot be concluded as its “findings”.

In a statement, the CAG said that its attention has been drawn to reports appearing in media regarding audit being undertaken by Audit and Accounts Department of DoS.

“The news item gives the impression as if our audit has been finalised. This office clarifies that audit of certain activities of DoS is under way.

“Very preliminary queries have been raised which are yet to be replied by that department. Since the audit is at very preliminary stage, it can by no stretch of imagination, be concluded that information as given in the media reports are findings of this department,” the CAG statement said.