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Monday, March 3, 2014

Defence Ministry Put on Hold All Deals by Rolls-Royce in Contracts With Hindustan Aeronautics Ltd (HAL) Monday March 03,2014


India's Defence Ministry put on hold all deals by Rolls-Royce in contracts with Hindustan Aeronautics Ltd (HAL)after ordering a CBI probe into allegations of kickbacks and unauthorised use of an outside “commercial adviser” by Rolls-Royce in contracts with Hindustan Aeronautics Ltd. (HAL)


The CBI probe into allegations of kickbacks and unauthorised use of an outside “commercial adviser” by Rolls-Royce in contracts with Hindustan Aeronautics Limited (HAL) came within weeks of the arrest of two arms commission agents in Britain by the Serious Fraud Office



In the last week of December 2013 that Rolls-Royce admitted to HAL of the unauthorised usage of the service of an outside “adviser” while selling gas turbines to India

After HAL’s internal discussions, the matter was referred to the Defence Ministry in Feb 2014 as it involved alleged violation of integrity protocol, which is laid down in India’s procurement rules

Rolls-Royce contracts, worth nearly Rs. 10,000 crore for the supply of aircraft engines to HAL for its trainer aircraft during 2007-2011

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