Antrix-Devas agreement allowed Devas to provide multiple services
such as 4G services (improvement in 3G services), mobile TV
services both through satellite and terrestrial route, DTH
services, etc., on the same platform. It provided for the
launch of two customer-specific satellites for Devas by leasing
all 20 transponders of these two satellites.
total of 70 MHz of S-Band was earmarked for spectrum in 2.6
GHz band to Devas as a part of leasing out the transponders
of the two satellites. Orbital slot was to be allocated for
an indefinite period to Devas. It indicated a sub-licensing
clause which would enable Devas to sub-lease satellite transponders
breach of existing rules, policies and procedures finds resonance
throughout, the CAG Report says, adding that the DoS took
upon itself the task of approving the new hybrid SDMB service
which as in the case of DTH services was the prerogative of
the Union Cabinet. Valuable spectrum frequencies, including
10 MHz meant to be reserved for strategic purpose, were earmarked
for Devas without obtaining approval of the Wireless Planning
and Coordination (WPC) wing of the Department of Telecom.
report says the DoS, while seeking approval of the Union Cabinet
for the launch of the GSAT-6 satellite in November 2005, "suppressed
the crucial fact that it had signed an agreement with only
one user, that is Devas, and not with different users as mentioned
in the Cabinet note. The agreement with Devas was, in fact,
signed well in advance of seeking approval of the Cabinet
in January 2005."
DoS also failed to inform the Cabinet that GSAT-6 and 6A satellites,
proposed to be funded by the Government budget, were almost
entirely (only 10 per cent was set apart) to be used by the
private commercial entity. To avoid obtaining of approval
of the Union Cabinet, DoS estimated the cost of GSAT6A,
the subsequent satellite of a similar configuration after
GSAT 6 at Rs 1.47 billion so that it fell within the
financial competence of the Space Commission. The first satellite
GSAT - 6, had been costed at Rs 2.69 billion.
promote the interest of the private consultancy firm, Forge
Advisors, USA, the DoS
extended to it a host of benefits. Seventy MHz of S-band spectrum
was earmarked for an indefinite period to Devas ignoring its
revenue potential to the Government.