A probe in cable network business has exposed an unholy nexus which resulted in the loss to the tune of Rs.700 crore to the state revenue, said Local Government Minister S Navjot Singh Sidhu in the Punjab Assembly today.
Replying to a question asked by MLA Sukhjinder Singh Randhawa, he said, ''Had this money been deposited in the state exchequer, it would have been enough for the all round development of a big city.
Talking in brief, the cable network business in Punjab runs as follows:- from TV company to distribution agent, Distribution Agent to Multi System Operator, Multi System Operator to Cable Operator and in the end the Common Consumer. In this, Fastway is leading the pack.
''This cable network business ran full throttle after the formation of the Akali government in 2007. It was expanded with the intent to carry out loot of Punjab and finish off small businesses through monopoly.
''At present, a company named Fastway cable is running the cable network business throughout the state. But what is astonishing is that only around 1,25,000 connections are being stated whereas the reality points out to around 80 lakh TVs in Punjab.''
Punjab has more than 8,000 cable operators out of which 6,500 are directly under Fastway while the rest 1500 are indirectly under it, the Minister said. ''What is surprising is that the service tax department of the Union Government has accounts of 1500 local cable operators while the rest operate illicitly. ''
According to the information, the service tax department has issued service tax notices worth Rs 250 crore out of which only Rs 23 crore have been deposited.
He also demanded a separate probe into the under reporting of total TV connections and cable operators engaged by the company.
He alleged that only 1,25,000 cable connections were shown but actually 80 lakh connections existed.
Out of 8,000 cable operators, 6500 were under Fastway, he said.
He sought an FIR against Fastway for laying wires without permission.
“Fastway owed rent for hanging cables per pole. Punjab has 3 lakh poles,” he said, but not a single penny given.
He demanded vigilance inquiry from Chief Minister Amarinder Singh against the “cable mafia”.