Conflict of interest claims may mar S-band probe

In a move which puts the Prime Minister's Office in the eye of the storm, former Cabinet secretary B K Chaturvedi will head a review and inquiry committee to examine the deal between the Indian Space Research Organisation and Devas Multimedia, in which it is alleged that ISRO virtually gifted valuable S-band spectrum to the Bengaluru-based company.

Chaturvedi was the Cabinet secretary when the deal was signed in 2005 and by virtue of that role he was also a member of the Space Commission.

Interestingly, Roddam Narasimha, the other member of the probe committee, was also a member of the Space Commission which signed the deal.

ISRO reports directly to the PMO.

A senior Congress leader, who did not wish to be named for this report, believes the committee raises doubts that an attempt is being made to protect someone in the PMO who may have had a hand in signing the deal.

The committee has been asked to 'review the technical, commercial, procedural and financial aspects' of the agreement signed in 2005 and 'to fix responsibility for lapses.'

ISRO has clarified that in 2005, the Cabinet was not informed about the deal --including the spectrum that was allotted to Devas.

The agreement has been under review since 2009. In 2010 the Department of Space decided it should be annulled. But that decision was never taken.

Our Correspondent adds from New Delhi: Confusion reined with two parallel bodies sitting in judgement on the cancellation of ISRO's deal with Devas.

The Space Commission is meeting on Saturday to discuss the action taken report on the minutes of the July 2, 2010 meeting in which a decision was taken to cancel the Devas contract.

The government has also announced a separate probe into the controversial contract by a two-member team headed by Chaturvedi.

ISRO Chairman K Radhakrishnan, who presides over the Space Commission meetings, called up Space Commission members to inform them that the Devas contract may have to be taken off the agenda for Saturday's meeting in view of the new probe.

The Devas issue was listed as the last item (No 4) on the agenda for the Space Commission meeting, which was circulated on Wednesday, besides other subjects like the failure of recent space missions and clearing of budget proposals.

Most significant is item No 1: The selection of the Antrix Corporation chairman.

So far, the ISRO chairman has been the Antrix chairman as also the secretary, Department of Space.

Perhaps after the spectrum scam broke, the government wants to have a separate head for Antrix, ISRO's commercial arm.