This Article is From Jun 08, 2011

2G scam: Kanimozhi's bail rejected, mother breaks down

New Delhi: Kanimozhi's mother, Rajathi Ammal, was in tears in court after her daughter's application for bail was rejected by the Delhi High Court in the 2G scam case.  

"Considering the political and financial clout of the accused, the possibility of them tampering with evidence and influencing witnesses, the magnitude of the offence they've been charged with, their bail pleas are dismissed," said the judge. He also refused bail to Sharad Kumar, who co-owns a TV channel with Kanimozhi in Chennai.

The young MP from the DMK has been accused of accepting a Rs 214-crore bribe along with former Telecom Minister A Raja, who is also from her party, and is now in jail. She was arrested in May by the CBI, which is investigating the 2G scam, described as India's largest-ever swindle. The judge today said, "There's prima facie evidence to suggest they were beneficiaries and received illegal gratification."

Kanimozhi's lawyer had applied for bail on the grounds that she needs to look after her young son, since her husband travels abroad frequently for work. DMK leader TR Baalu, who was present in court today, said they would approach the Supreme Court soon against the High Court verdict.

While he was Telecom Minister in 2008, Mr Raja allegedly presented telecom licenses and spectrum to companies at hefty bargains that cost the country thousands of crores.  One of those firms- Swan Telecom- is accused of repaying him by sending him a cheque for Rs 214 crores that was deposited with Kalaignar TV.  Kanimozhi and her stepmother are both large shareholders in the company.  

Kanimozhi has described the money as a payment for an equity deal which was returned with interest once the deal fell apart. The CBI counters that the money was sent back only after it began investigating Mr Raja.

Kanimozhi's imprisonment has  become the latest stress-test of her family's alliance with the Congress.  Her father, DMK President M Karunanidhi, earlier this week, blamed the Centre for her predicament. "She's in prison either because of the Centre's order or indifference," he said in his constituency of Tiravur. He also said that in jail, his daughter "will wilt like a flower."

DMK calls emergency meeting

In the wake of the Delhi High Court denying bail to DMK MP and party chief M Karunanidhi's daughter, Kanimozhi, in the 2G spectrum case, an emergency meeting of the party's top brass will be held on June 10.

This will also be the first meeting of the party's high-level Action Committee after the DMK's drubbing in the Assembly polls in which it finished third, with fledgling DMDK becoming the principal Opposition.

The DMK headquarters issued a press release saying all members have been asked to "participate without fail".
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