Rafale – India’s biggest ever defense scam ?

 

To the shock of many, the Supreme Court of India today dismissed all pleas, seeking a court-monitored investigation into the Rafale deal, and claimed that it was “satisfied” with the decision to procure 36 aircraft. In this explainer, we take you through a timeline of the Rafale deal through the years, and shed some light on the many unanswered questions and loopholes around what is being called India’s biggest ever defense scam.

 

 

 

The Rafale deal that originally had a requirement for 126 aircraft was changed overnight to a requirement for only 36.

Due to this simple change the deal has attracted massive controversy and now all fingers point right at our own Prime Minister Modi the total deal amounts to over 64,000 crores the offset amount that is money that the French companies are required to invest in India is 50% of the total amount a big chunk of this 50% has gone to Anil Ambani.

let us look at a few reasons why and understand how the requirement for 126 fighter jets was put out by the Indian Air Force sometime in 2007.

After having health field trials for all the prospective aircraft ruffled by the salt was chosen after 126 aircraft 18 motor be supplied by the soul in a flyaway condition and the remaining 108 were to be made in India by Hindustan Aeronautics Limited through transfer of technology till 2014.

negotiations were still on. Suddenly on April 10 2015. While visiting Paris for a summit, Modi announced that India would be buying 36 riffles outright in a flyaway condition and the earlier tenders stood cancer.

 

The announcement immediately raised eyebrows. The main factors in the default scam are.

 

  1. national security being compromised with 126 bikers being replaced by a mere 36.

  2.  blatant violation of the defense procurement procedure.

  3. crony capitalism involving the Anil Ambani led reliance defense and

  4.  giving up on any prospects of indigenous manufactured by technology transfer from the salt to HCl. Let’s go through the developments before April 10 2015.

    The day the controversy began that points themselves to the dubious nature of this deal. The chairman of HCl Suvarna Raju and the dissolved Chairman and CEO Eric drappier, had held a public meeting. During this meeting trap you have stated that 95% of the deal has been finalized with HL and that the final agreement will be signed soon.

    A few days later. Anil Ambani registered reliance defense limited on the eve of pm Modi’s departure, Foreign Secretary s jaishankar. At a press conference, told the media that the original deal involving HCl is still on.

    14 days after Modi’s announcement reliance arrow structure limited was incorporated as a subsidiary company of reliance defense limited, this timeline leads to several concerns. And most of those expected to be involved, including the Cabinet Committee on Security did not know of it, how was the decision taken to scrap the original tender and by whom was reliance defense selected for the major offsets contract?

    Once the Indian Air Force provides its requirement, the categorization Committee recommends how this requirement will be met. That is, whether the requirement will be bought off the shelf or manufactured in India and so on. Finally, the Defense Acquisition Council de AC sets all the above resolutions in stone.

    What authority did Modi have to change the decisions by all these bodies. all indications are that the Prime Minister took this decision which was only ratified post facto and that no due process was followed.

    There Sita Raman in trying to explain why the earlier tender was cancelled, said that the HCl did not have the required capability to make the default let us allow facts to speak for themselves. In 1965, during the india Pakistan war, India was flying DHL manufactured a Jeep fighter aircraft.

    The GS went on to win a claim by outperforming us made fighters that Pakistan was flying. As acknowledged even today by Pakistani different services.

    Several other fighter aircraft and helicopters have been made by DHL that have proved durable and reliable defense manufacturer was a big pillar of pm Modi’s making India policy

    the offsets contract could have been used for a significant amount of Technology absorption by firms in India. Instead, a big chunk out of this 50% went to a company that till 12 days before the announcement in Paris did not have land, manpower or the money to build a single aircraft. But what are offsets? the DPP has an offset clause. This clause was introduced as a means whereby a part of the total cost would be reinvested in India, and in the process, advanced technologies could be acquired by Indian firms. Although the defense minister has stated that the salt was free to choose an offset partner. It’s intriguing that the salt would choose to join hands with a company that at the time existed only on paper.

    Was there an external risk factor involved? Why then, suddenly was the decision made to scrap the original 126 requirement and ask for 36 aircraft. Experts say that the original deal was dumped because it involves a defense PSU h L, which was a production agent, leaving no scope for profit through offsets to involve a third party that could profit through offsets, a new deal would have had to be made.

    to rub salt into the wounds of fresh request has been issued for 110 fighter aircraft. If this many were required, why cancel the original tender and if only 36 were required, why order another 110. With new skeletons falling out of the closet every day, the country still awaits an answer as to who is responsible for putting our national security at risk.

 

 

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