2G Scam - Acquittal In Criminal Case Won't Remove The Finding That 'First Come First Serve' Policy Was Arbitrary : Supreme Court Rejects Loop Telecom's Refund Plea

The Supreme Court on Thursday dismissed the appeal filed by Loop Telecom and Trading Limited assailing the decision of TDSAT of dismissing their pleas seeking refund of Entry Fee of Rs 1454.94 crores paid for grant of Unified Access Service Licenses.The bench of Justices DY Chandrachud, Surya Kant and Vikram Nath observed that Loop Telecom was in pari delicto with the Department. Impossible To Accept Appellant's Submission That Fraud In The―First Come First Serve Policy Lay Alone At Union Government's Doorstep And That Appellant Was Free From Taint Or Wrong Doing; Decision In CPIL's Judgement Leaves No Manner Of Doubt That Appellant Was In Pari Delicto Along With Union Government Rejecting the appellant's contention that fraud in First Come First Serve Policy was alone at Union Government's doorstep and that appellant was free from taint or wrong doing, the bench said, "The decision of this Court held that the ―First Come First Serve‖ policy was writ large with arbitrariness, and was intended to favour certain specific entities at a grave detriment to the public exchequer. Policy Decision Adopted By Union Government Cannot Be Allowed To Be Questioned At Appellant's Behest Who Sought A Refund Simpliciter In Proceedings Before TDSAT With regards to appellant's contention that policy of the Union of India to permit the grant of a set off of the Entry Fee amounted to an admission that a refund of the Entry Fee was payable, bench said "The appellant did not challenge the policy per se at that stage, nor did it attempt to enter into the fray at that stage when a fresh auction was held. Summary - Appeal against TDSAT order dismissing appellant's refund claim - Dismissed - In Centre for Public Interest Litigation v. Union of India 3 SCC 1, the 2G licences which were granted by the Union of India, including to the appellant, were quashed - The appellant was the beneficiary of the "First Come First Serve" policy which was intended to favour a group of private bidding entities at the cost of the public exchequer.