CBI charge sheet names Unitech Wireless

The charge sheet names the managing Director of Unitech, Mr. Sanjay Chandra, and also names Unitech Wireless for actions when it was a fully owned Unitech Company, prior to Telenor Group entering India.

“Telenor Group supports the initiatives from the Indian authorities to establish a transparent and stable telecom industry. Telenor has zero tolerance for corruption, and if any malpractice has indeed occurred, those responsible should be made accountable,” said Sigve Brekke, Executive Vice President and Head of the Telenor Asia operations.

When Telenor invested INR 61.2 billion for a 67.25 per cent ownership in Unitech Wireless, it was in a company that already had a genuine license issued by the Indian government with all necessary approvals. During our own due-diligence process we found no reason to believe that the license was not awarded in accordance with the guidelines set by the authorities.

The investment was made into the operating company and not to its promoters. This is the equity that has been used as working capital to fund the establishment of Uninor as a successful young mobile operator in India. Since Uninor launched its services a little more than a year ago, the company is now present in 13 telecom circles and has more than 20 million subscribers.

“When Telenor Group entered into India, the country had a well defined regulatory and political framework for the development of the Indian telecom sector.”We predicted that India would be a very competitive market, but we could not foresee the regulatory and political turmoil the telecom industry is facing today,” said Sigve Brekke.

It is Telenor’s intention to fight its rights and continue the operational progress that has been achieved in the Indian market at this stage.