3G roamers fall under CAG scrutiny

18 Jun 2013

The Comptroller and Auditor General (CAG) has begun an investigation into the handling of 3G roaming agreements to determine whether the deals caused any loss to the exchequer, the Hindu Business Line writes. The CAG has requested that the Department of Telecommunication (DoT) hand over all details of pacts signed by 3G operators allowing cellcos to provide services outside of their licensed areas. As noted by TeleGeography’s GlobalComms Database, prior to the sale of 3G concessions in 2010, the DoT told potential bidders that such deals would be permitted in order to allow them to offer services nationwide. The watchdog quickly reversed its decision on the matter, however, and declared the contracts illegal in late 2011.

The CAG’s investigation will centre on whether or not the cellcos offering 3G roaming services were complying with the terms of their concessions by paying a share of their revenues to the state.