Contract with Devas Multimedia is being scrapped: ISRO
merisarkar news service, New Delhi, February 08, 2011
Contract is being scrapped: ISRO
The government has clarified that there is no loss of revenue in the allocation of S Band spectrum. Talking to media persons in New Delhi, Secretary in Department of Space K. Radhakrishnan said that the termination process of contract between Antrix and Devas multimedia for S Band spectrum has already been initiated.
Dr. Radhakrishnan clarified that in 2005, Antrix, a subsidiary of ISRO, and Devas Multimedia entered into an agreement for application development. Outlining the reasons for canceling the contract, he said it is based on the current national strategic and societal requirement. He further added that the Space Commission had reviewed the contract in December 2009 and decided to terminate the same in July 2010.
The termination was taking time due to a complex process involved in doing so. In reply to a query whether the Department of Space knew that Devas Multimedia has sublet the spectrum for telephony, he said that an internal review process has already been initiated on this issue also. He said appropriate action will be taken if any one is found involved.
However, Dr. Radhakrishnan parried away the questions regarding the role of his predecessor Dr. G Madhvan Nair in this contract. Dr. Nair was chairman of ISRO from 2003 to 2009 and the deal was initiated, finalized and signed during his tenure.
In response to a question, Dr. Radhakrishnan said that cabinet was not aware of full commercial applications of Antrix's deal with Devas Multimedia and the fact that the deal allows Devas to use S band spectrum was not 'explicitly' written in the contract.
Earlier in the day, the PM Office under whose jurisdiction Department of Space comes, has already issued a clarification on the issue saying no loss of revenue is involved. PMO called the media report 'baseless'.
