Anthony vows to clean up defence procurements
27 May 2009
Defence Minister A K Antony today said the government would resort to cancellation of contracts to curb corruption in defence deals.
Speaking at a CII seminar on defence communications, Antony said the government "would not hesitate to cancel contracts if there is malpractice" in procurements.
Responding to Hari S Bhartia, vice president, CII, who mooted greater private sector participation in the defence industry, antony responded by saying that indigenisation of defence equipment would help to promote self reliance in meeting the requirements of the armed forces.
Antony said at times, manipulations and malpractices were found and the government had "ruthlessly cancelled big ticket items," a refernece to his earlier term as defence mionister in the preceding UPA government, when two defence deals, including the Eurocopter helicopter deal were scrapped last year on grounds of malpractices by the original equipment manufacturer.
"In future also, I cannot say if there is malpractice we will take a lenient view," Antony said.
"They should not try to bribe our people", Antony cautioned private sector firms planning tie ups with foreign suppliers and OEMs. "If they try, they will face the consequences, as also the officers and manufacturers who are in touch with them."
"We will not be lenient. We will take strong action," he warned as the government was not inclined tolerate "wheeling dealing or corruption."
He said the situation in the immediate neighbouthood warranted greater modernisation of the defence forces, which required greater weapons and equipment procurement.
On the process of defence procurement, the minister said, "While we are determined to speed up procurement, we cannot compromise on transparency. We will ruthlessly cancel contracts in the future also as in the past. This is not a happy experience but we will be forced to take such action."
