Indian tycoons Ratan Tata and Anil Ambani will appear before a parliamentary committee that is probing a multi-billion-dollar telecoms licensing scandal, their companies said in separate statements on Monday. The parliament's Public Accounts Committee (PAC) is investigating alleged corruption in the sale of 2G telecoms licences in 2007-08, which a state auditor said cost New Delhi up to $39 billion in lost revenue, and led to the sacking of a former telecoms minister.
The appearance of two of India's most well-known business figures will be seen as a sign of a widening probe into the licensing case, which has hit the ruling coalition government and damaged investor confidence in Asia's third-largest economy. "Mr R.N. Tata has expressed his willingness to appear before the PAC on April 4th in connection with the recent developments in the telecom sector including allocation of 2G and 3G spectrum," a Tata Sons spokesperson said in statement.
Tata Sons is the holding company of the salt-to-software Tata Group conglomerate which controls Tata Teleservices, India's fifth-largest mobile telecom carrier. Billionaire Anil Ambani's Reliance ADA Group said in a separate statement: "Anil Ambani welcomes the opportunity to appear before (the) PAC." The company did not elaborate. Reliance Communications , India's second-largest mobile telecoms carrier, is controlled by Ambani.