CBI probes own prosecutor in 2G case; Unitech plunges 18 percent

Tue Feb 12, 2013 7:28pm IST

1 of 2. The sun rises behind a communications tower in New Delhi March 20, 2006.

Credit: Reuters/B Mathur/Files

Related Topics

Stocks

   

REUTERS - The Central Bureau of Investigation (CBI) said it is looking into whether a prosecutor for the agency discussed a probe into alleged corruption in the allocation of mobile phone airwaves five years ago with one of the people being investigated.

Shares in Unitech(UNTE.NS) slumped more than 20 percent after reports on CNN-IBN and in the Times of India that CBI senior prosecutor A.K. Singh is suspected to have discussed the case with Unitech Managing Director Sanjay Chandra in a recorded conversation, reports Unitech strongly denied. The shares ended down nearly 18 percent.

CBI spokeswoman Dharini Mishra told Reuters that Singh was under internal investigation after the agency received a compact disc from an anonymous source on February 6. She said the CBI was investigating the authenticity of the recording.

Unitech is a real estate developer that had a mobile phone joint venture with Norway's Telenor that was among those whose licences were revoked by a court following the high profile licensing scandal.

Telenor is in the process of dissolving the joint venture.

The two media reports said the recording was suspected to be of Singh coaching Chandra about how to deal with CBI investigators probing irregularities in the allocation of 2G airwaves.

Unitech issued a statement calling the recording fabricated.

"He (Chandra) wishes to make it absolutely clear that he has never met the prosecutor in the 2G case outside of Court or had any phone conversation with him," Unitech said.

"He denies the suggestion that his voice is on any alleged recording. It appears a fabricated voice recording has been sent anonymously to the CBI. Any suggestion that Sanjay Chandra is linked with this recording is nothing but an attempt to malign him and prejudice his defence in the 2G case."

(Reporting by Rafael Nam, Aditi Shah, Devidutta Tripathy and Satarupa Bhttacharjya; Editing by Tony Munroe)

FILED UNDER:

INTERNAL SECURITY

REUTERS SHOWCASE

Setback For Sahara

Setback For Sahara

Supreme Court defers verdict on Sahara plea to raise more debt on hotels  Full Article 

SpiceJet Crisis

SpiceJet Crisis

SpiceJet says fleet grounded on lack of fuel  Full Article 

Drug Patents

Drug Patents

Novartis sues Cipla over respiratory drug Onbrez   Full Article 

Boost for Tata Steel

Boost for Tata Steel

Tata Steel restarts key iron mines amid shortage  Full Article 

Reuters Poll

Reuters Poll

BSE Sensex to hit 32,980 by December 2015  Full Article 

India Outlook

India Outlook

ADB trims growth forecasts for developing Asia, says India to grow 5.5 pct in 2014  Full Article 

Real Estate

Real Estate

HDFC to raise $500 mln real estate private equity fund - sources  Full Article 

Banking Sector

Banking Sector

Japan banks to bulk up India presence on improving ties   Full Article 

U.S. Spending Bill

U.S. Spending Bill

Obama signs bill $1.1 trillion government spending bill  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage