French media claims Rafale scandal, Congress seeks PM's response on million-Euro payoff
The Mediapart report claimed that French anti-corruption body Agence Française Anticorruption had raised a red flag in mid-October 2018 and sought an explanation from Dassault.
Rafale fighter aircraft has once again found itself facing turbulent weather amid the election period with the Congress targeting the Narendra Modi government citing a French media report that claimed that aircraft maker Dassault paid 1 million Euro (Rs 8.6 crore) to Indian middleman as a 'gift.'
Based on the French news website Mediapart.fr report on unexplained payments made by Dassault, the Congress party once again claimed that the revelations warranted an independent investigation and blacklisting and penal action against Dassault.
Mediapart.fr had yesterday published the first of a three-part series on the Rafale deal.
The Mediapart report claimed that French anti-corruption body Agence Française Anticorruption had raised a red flag in mid-October 2018 and sought an explanation from Dassault.
That red flag was reportedly raised over Dassault's payment to one of its Indian sub-contractors, Defsys Solutions, for the manufacture of 50 large replica models of Rafale fighter jets. According to the Mediapart report, the models were never made and the amount spent was shown as 'Gifts to Clients'.
Mediapart report claims that the French anti-corruption body did not pursue or report the anomaly.
Ironically, Defsys Solutions is owned by Sushen Gupta, who was arrested in March 2019 by the Enforcement Directorate in the AgustaWestland scam money laundering case probe. He was later released on bail.
The Congress party claims that the media report vitiated the entire deal signed between the Narendra Modi government and the French government on September 23, 2016.
The Congress party has cited the 'Integrity clause' within the Defence Procurement Procedure, which states that there can be no middleman or payment of commission or bribe.
"The DPP states that any evidence of middleman or commission or bribery has serious penal consequences of banning the supplier defence company, cancellation of contract, FIR registration, and imposition of heavy financial penalties on the defence supplier company," the Congress said.
The Congress has demanded a response from Prime Minister Narendra Modi in light of the French media report's revelations.