Def Ministry imposes fine on MBDA for delay in fulfilling offset obligations under Rafale deal
New Delhi(PTI): The defence ministry has imposed a fine of less than 1 million euros on European missile maker MBDA for delay in fulfilling its offset obligations under the Rafale aircraft deal, sources said on Wednesday.
French aerospace major Dassault Aviation is the manufacturer of the Rafale jets while MBDA supplies the missile systems for the aircraft.
India had signed an inter-governmental agreement with France in September 2016 to procure 36 Rafale jets at a cost of Rs 59,000 crore, and the offset obligations were part of the contract.
As a part of the deal, 50 per cent of the total contract value has to be reinvested in India as offsets in each year between September 2019 and September 2022.
The sources said the defence ministry has imposed and collected a fine of less than 1 million euros from MBDA for delaying its offset obligations for the September 2019-September 2020 period.
MBDA has deposited its penalty but has also lodged its protest with the defence ministry, they said. MBDA did not respond to PTI's request for a statement on this matter.
The first batch of Rafale fighter aircraft came to India in July last year.
The CAG had in September last year said that Dassault Aviation and MBDA are yet to fulfil their offset obligations of offering high technology to India under the Rafale aircraft deal, according to the Comptroller and Auditor General's report released on Wednesday.
In its report tabled in Parliament, the national auditor had said that Dassault Aviation and MBDA proposed in September 2015 to discharge 30 per cent of their offset obligations by offering high technology to the Defence Research and Development Organisation (DRDO), but the two firms were yet to do it.
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Lucknow Super Giants beat MI by 18 runs in IPL
Mumbai, May 17: Lucknow Super Giants beat Mumbai Indians by 18 runs at Wankhede Stadium on Friday.
Mumbai Indians thus finish last in the 10-team table with only 8 points from 14 games.
Aided by a 109-run partnership between skipper KL Rahul (55 off 41 balls) and Nicholas Pooran (75 off 29 balls), LSG scored a commendable 214 for 6.
The visitors then struck at regular intervals to stop MI at 196 for 6 despite Rohit Sharma's 68 off 38 deliveries and Naman Dhir's reargaurd 62 off 28 balls.
Earlier, Rahul first steadied the innings with Marucs Stoinis (28) after the fall of his opening partner Devdutt Padikkal for a duck and then stitched a century stand with West Indian Pooran, who clobbered eight maximums and five boundaries.
Spinner Piyush Chawla (3/29) and Sri Lankan pacer Nuwan Thusara (3/28) emerged the most successful Mumbai Indians bowlers, grabbing three wickets each.
Brief scores:
Lucknow Super Giants 214 for 6 in 20 overs (Nicholas Pooran 75, KL Rahul 55; Piyush Chawla 3/29, Nuwan Thushara 3/28).
Mumbai Indians 196 for 6 in 20 overs (Rohit Sharma 68, Naman Dhir 62 not out; Ravi Bishnoi 2/37).
