2G spectrum scam: Why did Tata 'donate' Rs 20 cr to Raja?

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Shaid Balwa and Ratan Tata
New Delhi, Aug 3: The investigating agency Central Bureau of Investigation (CBI) had given a clean chit to the Tatas in the 2G spectrum scam. But an accused in the case, Shahid Balwa seems unconvinced over CBI's decision. Balwa reiterated the question - why did the Tatas "donate" Rs 20 crore to a medical college cum hospital in Perambalur in Tamil Nadu according to former telecom minister A Raja's demand?

Shahid Balwa is one of the accused in the 2G spectrum scam which caused the nation a whopping Rs 1.76 lakh crore loss. During the trial of the case, Balwa's lawyer asked, "On Sep 15, 2009 Ratan Tata wrote to Raja acknowledging the receipt of his letter for donation and also mentioned that Tatas have never made a grant of this magnitude to an external person. However, the grant of Rs 20 crore is made to a hospital in Perambalur as a special case."

Pointing at the phrase - "special case" mentioned in Ratan Tata's letter, Balwa's lawyer Majeed Memon argued in the court that any "special case" was pointing at the suspicious process of money transaction.

Balwa's counsel also criticised CBI's decision of not to probe the Tata's "dubious" role in the whole second generation telecom spectrum scam.

Defending Balwa, Memon also claimed, "Making a donation as a special case is the easiest way for a person to receive favour. If I were to give illegal gratification of Rs 200 crore, as alleged, for favours from Raja, why would I adopt circuitous route where the money finally does not even reach him. I could have also made a cheque towards charity."

Charges against Balwa:

CBI chargesheet accuses Balwa of giving a bribe of Rs 200 crore to DMK-run Kalaignar TV through a "circuitous route" via Cineyug Films and Kusegaon Fruits and Vegetables Pvt Ltd.

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