Congress has been attacking the government for the purchase of the Rafale planes.
New Delhi:
Congressional leader P Chidambaram attacked the government this morning after India’s Comptroller and Auditor General (CAG), in a report, called for a review of the Defense Ministry’s policy for offsets on the Rafale deal in 58,000 rupees with the French firm Dassault Aviation. The French firm has yet to transfer technical assistance to India as part of the deal for 36 Rafale jets, the national auditor said in his report that was presented to parliament.
“CAG finds that the suppliers of the Rafale aircraft have not confirmed the transfer of technology under the compensation contract,” the 75-year-old congressional leader wrote in a tweet.
“The compensation obligations should have started on 9-23-2019 and the first annual commitment should have been completed on 9-23-2020, that is, yesterday. Will the government say if that obligation was met? The CAG report is the opening of A Can of Worms? (sic), “Chidambaram said in another post, criticizing the government.
In its report, the CAG noted: “In the compensation of four contracts related to 36 medium multi-role combat aircraft (MMRCA), suppliers Dassault Aviation and MBDA initially proposed (September 2015) to fulfill 30% of their compensation obligation for offering high technology to DRDO (Defense Research and Development Organization) “.
The offsetting obligations should have started on 9-23-2019 and the first annual commitment should have been completed on 9-23-2020, i.e. yesterday. Will the government say if that obligation was met?
Is the CAG report opening a can of worms?
– P. Chidambaram (@PChidambaram_IN) September 24, 2020
“DRDO wanted to obtain technical assistance for the indigenous development of the engine (Kaveri) for the light combat aircraft. To date, the supplier has not confirmed the transfer of this technology,” stressed the national audit watchdog, adding that the compensation policy of the Ministry of Defense “has not produced the desired result.”
“The (Defense) Ministry needs to review the policy and its implementation. It needs to identify the constraints faced by foreign suppliers, as well as the Indian industry to take advantage of offsets, and find solutions to overcome these constraints,” the report highlights. .
The 58,000 crore deal to purchase 36 Rafale jets was signed in 2016 by the BJP government. Dassault Aviation said it will eventually meet its compensation obligation, which has slowed in recent months due to the coronavirus crisis. Five of the 36 aircraft have been incorporated into the Indian Air Force.
Congress has been attacking the government for the purchase of the Rafale planes. Last month when the first contingent landed in India, Congress Leader Rahul Gandhi tweeted: “Congratulations to the IAF on Rafale. In the meantime, can the GOI reply: 1) Why does each plane cost 1,670 Crores de Rs instead of Rs 526 Crores? bought instead of Rs 126? 3) Why did bankrupt Anil get a Rs 30 billion contract instead of HAL?
Congratulations to IAF for Rafale.
In the meantime, can the GOI reply:
1) Why does each plane cost 1670 million rupees instead of 526 million rupees?
2) Why were 36 planes bought instead of 126?
3) Why was Anil in bankruptcy awarded a Rs 30 billion contract instead of HAL?
– Rahul Gandhi (@RahulGandhi) July 29, 2020
The Congressional campaign for national elections, held in April-May last year, was based on the allegation that Prime Minister Modi had signed an overpriced agreement to facilitate a compensation contract for the inexperienced defense firm Anil Ambani. The government had dismissed the accusations.
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