Cabinet clears 2G presidential reference; 7 issues raised

The Cabinet has cleared the presidential reference on the 2G issue which seeks clarity on seven key questions regarding spectrum allocation from the Supreme Court, reports CNBC-TV18's Siddharth Zarabi.

Of the seven questions asked, two-three are where the government wants the president to refer questions of law to the Supreme Court under the head can the Court make policy, interfere with policy and make sweeping observations about the conduct of government decision-making with respect to the utilization of natural resources.

In that sense, some elements of the presidential reference, which is under article 143 of the Constitution, almost overlap with the review petition that has been filed as well as the interlocutory application.

One of the biggest issues raised is to do with those licenses granted using the first come first serve (FCFS) principle before 2008, and which go back to 1994 which was the last and only time 2G licenses were auctioned. The government wants the President to ask the Supreme Court what happens to those licenses, if they stand struck down, what happens to the spectrum and if whether a spectrum fee should be levied on these companies.

From hereon, this reference will go to the Supreme Court and it is up to the Supreme Court to decide what to do with it.

From hereon, this reference will go to the Supreme Court and it is up to the Supreme Court to decide what to do with it.

This reference also asks a very important question with respect to companies like Idea as well as STel, which have 3G spectrum on underlying licenses which have been cancelled as a result of the Supreme Court