Presenting a gloomy picture of the cable business in Punjab, Cabinet Minister Navjot Singh Sidhu on Friday made it clear that the Government would be sending notices to all 8,000 operators across the State before initiating criminal action against the erring.
laying bare the working of the “cable mafia” in the State in past five years of Akali-BJP rule, Sidhu alleged the Fastway Cables — that started with a capital of Rs 25 lakh and now has Rs 30 crore profit — “monopolised” cable business in the State causing Rs 500 crore loss to the State revenue by evading taxes, and not making payments to the local Governments.
Sidhu declared that as many as 8,000 cable operators were functioning in the State, out of which, 6,500 are directly under the Fastway while remaining 1,500 are indirectly under it.
“As far as my department is concerned, I am going to register cases against this. But, before that, we are soon going to send notices to all cable operators. all 8,000 operators,” Sidhu said while speaking with The Pioneer.
He said he wanted to go “step-by-step” to root out the cable mafia from Punjab. The Government is working on law — Cable Network Authority Act — to check the cable business which would soon be passed, he added.
Earlier, while responding to a query raised by the Congress MlA Sukhjinder Singh Randhawa, a day before, on the cable network business in the House, Sidhu shared the details of how the Fastway cables — having links with the Badal family — is frontrunner.
“This is my target,” said Sidhu while referring to Fastway which has “monopoly and command over entire business”. Despite repeated appeals of Congress MlAs, Sidhu refused to name the owner of Fastway saying, “yeh public sab jaanti hai”.
Pointing that Fatsway’s business caught speed after SAD-BJP came to power in 2007, he took over small networks and monopolised the trade in entire Punjab. “In figures, they show 1.25 lakh connections in their name, but in reality, it is more than 80 lakh,” he said.
Talking about tax evasion, he said that in the accounts of Centre’s service tax department, 1500 local cable operators are functional in Punjab, “and remaining are operating illegally”.
“Service Tax Department has issued service tax notices worth Rs 250 crore, out of which, only Rs 23 crore have been deposited,” he said adding, “look at the extent of scam”.
Sidhu pointed that the every local cable operator and multi-system operator had to deposit Rs 15,000 annually as entertainment tax. “But surprisingly, out of 8,000 local cable operator and 18 multi-system operators, only 150 paid taxes and that too at their own sweet will...kabhi karwaya kabhi nahi...jab jahan-pana ki marzi huyi,” he quipped.
He added that in Badal’s home district, “no cable operator and multi-system operator paid entertainment tax”. They robbed Rs 184 crore that would have gone to the State exchequer including Rs 85 crore tax from interest and fines, he added. He added the State Government suffered loss of Rs 100 crore in previous five years, and it increased to Rs 220 crore adding interest and fines.
Sidhu further pointed that optical fibres were laid across the State by digging roads for which Rs 500 per metre were to be paid and Rs 1000 to be paid for every manhole.
“Reliance was allowed to lay optical fibres only on the condition of laying those related to Fastway free of cost. No permission was taken from any department, including municipal corporations, PWD, canal department, national highways, forest and railways, neither any money was paid for laying a total of 1100 km wires,” he said, adding that the State Government was deprived of Rs 180 crore including Rs 83 as interest.
“This is a direct threat to the national security...it even calls for registration of case for laying fibres without permission,” he said adding that the wires were laid in every city and village.