Rafale Deal: CAG Report Not to Focus on Pricing Details Or Offset Clause Between Anil Ambani’s Firm And Dassault Aviation
The Comptroller and Auditor General (CAG) report on the Rafale Deal will not mention anything about the offset clause between Anil Ambani’s Reliance Naval and Engineering earlier known as Reliance Defence and Dassault Aviation.
New Delhi, December 19: The Comptroller and Auditor General (CAG) report on the Rafale Deal will not mention anything about the offset clause between Anil Ambani’s Reliance Naval and Engineering Limited earlier known as Reliance Defence and Dassault Aviation. According to CNN News 18, the report will only focus if there is any loss to the exchequer and also if proper procedure was followed in the procurement. The report which will be tabled in the month of January next year will also not focus on the pricing of the aircraft.
The reports will not only talk about the Rafale deal, but it will include various other defence deals. According to the news channel, another report will be tabled later in the year which will focus on the offset contracts of defence deals including the Rafale Deal. Rafale Deal: CAG Report on Pricing Not Examined by PAC, Modi Govt Tells Supreme Court; Requests to Correct Verdict
Initially, the UPA government signed a deal of USD 12 billion which amounts to Rs 78,000 crore (approx.) for acquiring 126 Medium Multi-Role Combat Aircraft (MMRCA), Rafale Fighter jets. Out of these 126 jets, 18 were to be procured in ‘ready to fly’ condition and rest 108 fighter jets were to be produced in India by Hindustan Aeronautical Limited (HAL). As the UPA failed to conclude the deal before the 2014 elections, the Modi government after coming to power scrapped the old deal. The government signed a new contract in 2016, worth Rs 59,000 to acquire 36 jets in ready to fly condition.
The opposition parties are also questioning the selection of Ambani’s Reliance Naval and Engineering Limited as an offset partner in the deal. Reliance Defence got Rs 30,000 crore offset contract. Congress president Rahul Gandhi even accused Prime Minister Narendra Modi of personally negotiated the Rafale fighter jet deal with former French president François Hollande to benefit Ambani. Meanwhile, Dassault Aviation claimed that it chose Reliance naval and engineering without any pressure.
(The above story first appeared on LatestLY on Dec 19, 2018 03:16 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).