The Fibernet Scam allegedly traces back to the time when Mr. N Chandrababu Naidu was holding the office of responsibility for energy, infrastructure and investment department. It was later when the Crime Investigation Department (CID) of Andhra Pradesh had Filed an FIR (First Information Report) regarding alleged irregularities against Andhra Pradesh State FiberNet Limited (herein after referred as APSFL) The FIR, filed on September 9, 2021 implicates 16 individuals and two companies in the case, which involves the awarding of a tender worth ₹333 crore for the FiberNet project.
The FiberNet project was initiated to provide Internet and telephone services to all households in Andhra Pradesh as part of the Bharat Net project of the Government of India, The phase-I of the AP fiber net project was worth ₹333 crore and intended to provide broadband connection of 15 Mbps line at Rs.149 per month to 1.3 crore households, while offices were promised to get a 100 Mbps connection at Rs.999 per month . however this boon which was intended to flourish the technological advancement of the people,for providing non-discriminatory access to broadband connectivity to all the telecom service providers in a phased manner, and the idea to enable access providers like mobile operators, Internet Service Providers (ISPs), Cable TV operators, content providers to launch various services such as applications like e-health, e-education and e-governance in rural and remote India , has been rendered into a nightmare for the masses given the turn out of the events in Andhra Pradesh.
As it was alleged that by manipulating rules and tender processes the work order for Phase 1- of the Andhra Pradesh FiberNet Project was allotted to a favored Company M/s. Tera softwares , thereby causing huge losses to the Government Exchequer to the tune of nearly 114 Crore.
It was alleged that Mr. Vemuri Harikrishna Prasad, a member of the e-Governance Authority governing council, colluded with M/S. Tera Software Limited to secure the tender illegally. It is claimed that the company lacked the necessary qualifications for the award and Several other individuals, including K Sambasiva Rao (then managing director of Infrastructure Corporation of AP), SSR Koteswara Rao (Tera Software chairman), T Gopi Chand (managing director of Tera Software), and six other directors were named as accused, Additionally Six directors of another company, Himachal Futuristic Communications Limited, were also listed as accused, along with unnamed government officials and others.
The case was registered under various sections of the Indian Penal Code (IPC) and the Prevention of Corruption Act. The report was submitted to the Special Judge for Anti-Corruption Bureau and Special Police Establishment cases.
The investigation into these irregularities was initiated after Energy Secretary Srikant Nagulapalli directed the CID to investigate and submit a detailed report to the government, The Central Bureau of Investigation (CBI) reportedly did not show interest in taking up the case, and thus the state CID was entrusted with the investigation.
The Cabinet Sub-Committee appointed by the YS Jagan Mohan Reddy government had found that project costs were extremely inflated Additionally, a person with fake certificates was appointed to head the project, and inferior quality set-top boxes (STBs) were purchased from different companies.
It is believed that the decision to seek a CBI inquiry was made due to concerns that the Central Public Sector Enterprise, Telecommunication Consultants India (TCIL), who emerged as the lowest bidder, might possibly expose the compromised tender conditions favoring Tera Software Ltd.
This case appears to involve allegations of corruption, irregularities in the awarding of contracts, and misuse of funds in the FiberNet project in Andhra Pradesh. The FIR and subsequent investigation aim to uncover the details of these alleged irregularities and hold those involved accountable.
On 26.09.2023 (Tuesday) the Andhra Pradesh state industries and information technology minister Gudivada Amarnath during the short discussion on ‘AP Fibernet scam in the state’ in the state legislative assembly stated that AP Fibernet project taken up by the previous Telugu Desam Party (TDP) & headed by N Chandrababu Naidu was in gross violation of the rules and had caused a loss of ₹114 crore to the state exchequer. Amarnath pointed out that Naidu had got the blacklisting against the firm revoked for reasons known to him. “and An officer of the industries and infrastructure corporation who opposed the company was transferred and those who favoured his decision were posted,” he alleged.
However on Sunday TDP rebutted against Mr. Gudivada Amarnath statement as false campaign against Naidu.
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