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This is an archive article published on December 10, 2010

BJP’s policy flip flop the most,says Tata

After accusing former telecom minister A Raja of favouring a certain set of telcos and creating an unlevel playing field,Tata Group Chairman Ratan Tata on Thursday accused the BJP of many flip flops in policy.

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After accusing former telecom minister A Raja of favouring a certain set of telcos and creating an unlevel playing field,Tata Group Chairman Ratan Tata on Thursday accused the BJP of many flip flops in policy. Tata said this while replying to an open letter to him by Rajya Sabha MP Rajeev Chandrasekhar,and accused Chandrasekhar of playing politics. Of the three major BJP flip flops —NTP 1999,WLL 2001 and UASL 2003—Tata said he approved of two since they helped break what he said was a cartel of incumbent players. He said WLL 2001 and UASL 2003 helped the country achieve 700 million subscribers today.

WLL 2001 allowed fixed land licence holders like Tata to start offering limited mobility telecom services while holding a licence for which it paid Rs 495 crore as against the Rs 1,651 crore paid by cellular mobile phone firms.

WLL phones also had other advantages like calling-party-pays revenues and different pulse rates. UASL 2003 allowed limited mobile services players like Tata to offer full-blown mobile services — that is,subscribers would be able to roam across cities using these phones,just as they did with cellular mobile phones.

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While replying to Chandrasekhar,Tata accused him of distorting facts and resorting to untruths. Without mentioning names,Tata said that while he hoped his reply would be as widely disseminated as Chandrasekhar’s letter to him,he was “well aware that some media houses will choose not to publish or air my response in deference to their owners,who are the real gainers in the telecom sector,with whom you have unfortunately aligned to provide a massive diversion of attention away from the real culprits in the telecom space.”

Tata reiterated the point about not getting a level playing field under Raja,and spoke of how firms like Bharti (he did not name anyone) had got extra spectrum; he also spoke of the licences issued by Raja’s predecessors at 2001 prices and said this was not highlighted by the media.

He accused Chandrasekhar of being a lobbyist himself: “You parked yourself at the Taj Mahal Hotel Delhi,for several months since 2002 which was the centre of operations for you to prevent entry of WLL Limited Mobility and CDMA as well …

You also constantly solicited support of CII … I take it that in your view this would not constitute lobbying.”

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“Your affiliation”,Tata said,“with a particular political party is well known and it appears that their political aspirations and their endeavour to embarrass the Prime Minister and the ruling party may well have been the motivation behind your letter… We should all note that many of the flip flops in the telecom policy occurred during the BJP regime.” In his reply,which he said was preliminary,Chandrasekhar accused Tata of ducking the main issues and instead trying to shoot the messenger. Late in the evening TTSL sent a separate reply to Chandrasekhar on the charges levelled by him on the company for out of turn favour. TTSL denied all such charges.

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