Airbus whistleblower's graft leak scuppered chopper deal?
New Delhi, May 12: Even as it is buffeted by bribery probes in several countries, aviation major Airbuss operation in India has flown into turbulence with reports of a whistleblower alleging graft in a chopper deal and the leak of sensitive classified information causing alarm in the government.
The Economic Times on Friday reported that Airbus Group has informed the Defence Ministry of an internal investigation into the allegations of the whistleblower over the tender for 14 twin-engine EC725 helicopters for the Indian Coast Guard. The deal is estimated to be worth Rs 2,000 crore.
According to the report, what has alarmed the government is that the whistleblower's letter making the allegation of graft had several highly classified documents attached to it.
When contacted, a senior Airbus Spokesperson said: "Airbus takes all whistleblower allegations very seriously and investigates such allegations thoroughly to ascertain any breach of its code of ethics and compliance. Airbus is fully dedicated to complying with its commitments and obligations under the Indian law."
He added: "Airbus will not comment on details of the press report concerning an Airbus Helicopter campaign."
Earlier, in February, Airbus had expressed that the commercial bid for the chopper deal that it had won, valid till February 15, had not been extended - and had therefore lapsed. Airbus had, however, refused to give any further details or the reasons behind the decision.
It is now being speculated that the whistleblower's allegation and the leak of documents, which first surfaced in December last year, may have been the reason for the non-extension of its commercial bid for the chopper deal.
According to the ET report, the anonymous letter sent to the Defence Ministry alleged that "benchmarking norms were changed and spare engine price calculations were hidden to favour Airbus and named three top coast guard officers as beneficiaries".
The report also alleged that "fugitive arms dealer Sanjay Bhandari and former business consultant Deepak Talwar, both of whom left the country after cases were registered against them by investigating agencies, acted as agents for Airbus".
The chopper deal was important for the Indian Coast Guard as it would have fulfilled its requirement for an advanced helicopter to step up its maritime surveillance so as to prevent a repeat of the Mumbai terror attacks of 2008.
Currently, the Coast Guard has aging Chetak helicopters and the Advanced Light Helicopter --Dhruv -- in its fleet.
While the Defence Ministry first began its conversation with Airbus almost six years back, the commercial bid for 14 of these medium lift helicopters was made in 2015, and Airbus had emerged as the lowest bidder.
The deal also involved offsets worth Rs 600 crore, and a maintenance, repair and overhaul (MRO) facility was to be set up in Goa.
"Airbus is engaged with the Indian Coast Guard and the Ministry of Defence to fulfil the need for 14 twin-engine heavy duty choppers following a campaign in which Airbus emerged as the lowest bidder by a very wide margin," the Airbus spokesperson told here.
Airbus's India troubles come at a time it is bracing for a difficult landing over corruption allegations in several countries. According to media reports, the company's woes are a result of its use of "commercial agents" - or intermediaries -- who specialise in "difficult" territories where they can assist multinationals in securing contracts.
Often characterised as consultancy, such work can be legitimate where it involves technical advice, such as regulatory best practice when bidding for a government contract. In other instances, it is nothing more than a euphemism for knowing who to bribe and for how much, a report in The Guardian newspaper said.
According to another media report, trouble for the group began in 2014, when an internal review of supplier payments at Airbus exposed irregularities. It ended up reporting itself to Britain's Serious Fraud Office and to France's equivalent body for lying to export-credit agencies about bribes given by third-party consultants to secure sales.
In October last year, Airbus said it may have violated American rules on arms exports because of fees paid to sales agents to secure deals. Austrian and German authorities are also investigating bribery claims tied to the sale of $2.1 bn-worth of Eurofighter jets back in 2003, the report said.
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India urges Bangladesh to take strong measures to ensure safety of Hindus
New Delhi (PTI): Amid reports of tension in Bangladesh's Chittagong following provocative social media posts, India on Thursday urged Dhaka to take action against "extremist" elements and ensure the safety of the country's Hindu community.
During a weekly media briefing here, MEA spokesperson Randhir Jaiswal condemned the alleged attack on the members of the Hindu community in Chittagong.
The tension was the result of "incendiary posts" on social media, he said.
"We have seen many videos circulating on social media. It is condemnable," Jaiswal said.
The MEA spokesperson underlined that it is Dhaka's "special responsibility" that the minorities be given security.
"In Chittagong, incendiary posts were made on social media. Those provocative things were related to the Hindu community. A disturbance happened and some members of the Hindu community were threatened and many properties were looted," he said.
"Extremist elements" are behind this and such things can lead to an increase in communal tension, Jaiswal told reporters.
He also said, "It is our request to the government there to control and take action against these elements and take strong measures to ensure the safety of people of the Hindu and other minority communities."
India on October 12 said it had noted with "serious concern" the reported attack on a Puja mandap and theft at a revered Kali temple in Bangladesh and urged Dhaka to ensure the safety and security of Hindus and all minorities and their places of worship.
To a query on a statement posted on the Awami League's verified social media handles in which Sheikh Hasina congratulated President-elect Donald Trump, with the words 'prime minister' in parenthesis affixed before her name, Jaiswal said, "What I have said before, you consider that our position."
"We have said from this place before that she is a former prime minister of Bangladesh, so that is where it stands," the MEA spokesperson said.
Hasina fled to India from Bangladesh on August 5 after being ousted from power following an unprecedented anti-government resistance.
To a query on a workshop being organised by Delhi-based think-tank Indian Council of World Affairs (ICWA), he shared details and the context of the event.
"As an important neighbouring country of India, developments in Myanmar are of interest to us and other stakeholders, including the academic community, think tanks and our business community," Jaiswal said.
On November 5-6, one particular workshop on Indian experience in constitutionalism and federalism was held, where "they invited stakeholders from various segments of the Myanmar society", he said.
"It is our understanding that such interactions, we hope, will contribute to deliberations on developing a Myanmar-led and Myanmar-owned solution to address the country's current challenges," the MEA spokesperson said.
"India remains on its part, a steadfast supporter of democracy, peace and stability in Myanmar," he added.
Jaiswal was also asked about the way forward after the recent disengagement of Indian and Chinese troops at two friction points in eastern Ladakh.
"Disengagement has moved forward, patrolling has commenced at both Depsang and Demchok. Patrolling has started at places as per the agreement. Some reports have come that there were some roadblocks in it. But those reports are not correct. I think, the (Indian) Army has also issued a clarification on this, that report is not correct," he said.
On India-US economic ties and the existing issues in it, Jaiswal said, "Talks are going on between the two countries and whatever issues are there in economic ties, both countries need to think deeply and find agreements and work will be done on it."
"We would want to have talks on the issues, so our ties become stronger," Jaiswal added.
