Prime Minister Manmohan Singh has appealed for a peaceful parliament Indian PM Manmohan Singh has announced a cross-party inquiry into a telecoms scandal believed to have cost the nation up to $40bn (£24.5bn).Mr Singh appealed for a peaceful parliamentary session and said he was "committed to root out corruption".
The opposition demand for the probe had stalled the last session of parliament, putting crucial legislation on hold.
Former telecoms minister A Raja was arrested in early February in connection with the allegations.
An investigation is already looking into whether mobile phone licences were sold at below-market prices in 2008, a claim which Mr Raja denies.
Mr Singh has vowed to punish those found guilty of fraud.
"Our country can ill afford a situation when parliament is paralysed," Mr Singh told parliament.
"So it is in this special situation that the government agrees to the setting up of a joint parliamentary committee," he said.
Opposition parties have welcomed the creation of the committee.
The main opposition Bharatiya Janata Party (BJP) had threatened to disrupt the current budget session of parliament unless the government agreed to set one up.
Correspondents say the announcement will end the political deadlock and allow the critical budget session of parliament to go ahead.
A.nemdil & Press Agencies
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