CAG’s telco audit: Conflicting views from Cong; Left, AAP happy

The Congress has hailed as a "good sign" the Delhi High Court order upholding the constitutional validity of laws empowering the CAG to conduct revenue audits of private telecom firms.

"It is a good sign. It is stretching the definition of accountability and transparency," a PTI report quoted party spokesman Sanjay Jha as saying.

He was asked to react on the order and whether it would strengthen the case of AAP government in Delhi to go in for CAG audit of private power companies.

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"At the end of the day, in provision of public service, one has to ensure highest level of probity," he said.

In its order, the court said that according to the terms of licence agreements, private telecom companies had undertaken the accounting responsibility on behalf of the Centre also and their accounts, in relation to revenue receipts, can be termed as the accounts of the central government also and hence, they would be the subject matter of the CAG's audit.

Jha's comments, however, conflict with that of P C Chacko, also a Congress spokesperson. Chacko is the chairman of the Joint Parliamentary Committee that probed the 2G spectrum allocation scam.

"As of now, we do not know how the Government auditor can audit the accounts of a private individual or company. There are independent auditors for private companies," he has been quoted as saying in a report in The Hindu BusinessLine. He expected the companies to move the higher court against the high court order.

Left and the Aam Aadmi Party, unsurprisingly, have welcomed the order, the HBL report said.

"We feel vindicated," CPI (M) leader and MP KN Balagopal has told the newspaper. He wants all private companies that handle public resources like mines and ports to be audited by the CAG.

"We welcome the judgement," AAP leader Prashant Bhushan has been quoted as saying in the HBL report.

The court order has come at a time when the Delhi government, brushing aside objections from power distribution companies (discoms) controlled by Anil Ambani and Tata groups, ordered an audit of their accounts by the CAG.

With inputs from PTI