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Awesome ! Anti National Congress rocks!
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NEW DELHI: Another big defence corruption probe is set to hit India. This time it's a joint US Brazil investigation into bribery charges against Brazilian aircraft manufacturer Embraer that has now been expanded to include the sales made to India.
While Embraer has also sold VVIP executive jets to the Indian Air Force, the deal likely to come under probe is a $210-million contract inked in 2008 with the Defence Research and Development Organisation (DRDO) for a project to develop a new range of early warning and control aircraft.
Authorities in the US and Brazil are probing charges that the company hired a middleman based out of England to bag the deal, a practice prohibited by Indian military procurement laws.
Besides the Indian deal, the company's contracts in Saudi Arabia are also being probed, Brazilian newspaper Folha de SaoPaulo reportedon Friday.
The probe, which began in theUS under the Foreign Corrupt Practices Act (FCPA) in 2010, has already led to the arrest of the defence minister of the Dominican Republic last month on bribery charges in a military deal with Embrarer.
View attachment 333048
This was a result of investigation launched on the basis of the information US Department of Justice shared with Brazilian authorities.
Embraer, which has not denied the charges, told ET that it is cooperating with authorities on alleged violations, and confirmed that it has expanded an internal investigation.
"The company voluntarily expanded the scope of the investigation, systematically reporting the progress of the case to the market," an Embraer spokesperson told ET.
Read more at:
http://economictimes.indiatimes.com...ofinterest&utm_medium=text&utm_campaign=cppst
Don't anybody find it strange that US is Investigating a Brazilian company for bribes while selling the aircraft's to Saudi Arabia and India ?
Classic Economic warfare by US. Boeing must be cheering from the sidelines.
This Article is so misleading, the journalist has absolute no clue at all.India Begins Corruption Investigation Against Embraer of Brazil
By: Vivek Raghuvanshi, September 15, 2016 (Photo Credit: Embraer)
NEW DELHI — The Indian government has asked the national anti-fraud agency, the Central Bureau of Investigation (CBI), to probe corruption charges against Embraer of Brazil surrounding the purchase of three EMB-145 aircraft from the company in 2008 by state-owned Defence Research and Development Organization (DRDO) for its indigenous airborne early warning and control systems (AEW&C) program, according to a senior Ministry of Defence (MoD) official.
"The government will also use diplomatic channel to ask the US and Brazilian authorities on the matter," the official said, who spoke on condition of anonymity.
Embraer has been under investigation by the US Justice Department since 2010 after a defense contract with the Dominican Republic raised suspicions of kickbacks. The US investigation has extended to examine Embraer's business dealings with eight more countries, including Saudi Arabia and India.
Brazilian newspaper Folha de Sao Paulo last week reported that the possibility of bribery in the 2008 Indian deal was on the US Justice Department's radar.
Embraer executives were unavailable for comment.
India's DRDO purchased three EMB-145 aircraft from Embraer in 2008 for $210 million for the homegrown AEW&C program to be used by the Indian Air Force (IAF).
"Referring the case to CBI will not produce immediate results, as the agency has taken several years to probe defense deals and at best it could only mean further delays in the homegrown AEW&C program for which the aircraft were bought," a senior IAF official said.
While a DRDO official claimed that the homegrown AEW&C program based on the Embraer platform is under progress and that one of the three systems will be delivered by year's end, the IAF official skeptical about the timeline. "The Integration of the radar, communications and control equipment is the main challenge," the IAF official said.
The DRDO official refused to comment on the kickback charges.
The Indian government had approved the AEW&C program in 2004 at a cost of $450 million and three aircraft EMB-145 were bought from Embraer in 2008. The first two customized aircraft were to be delivered in 2012. The aircraft are to be fitted with indigenous radars, communication and surveillance systems.
Email: vraghuvanshi@defensenews.com
http://www.defensenews.com/articles/india-begins-corruption-investigation-against-embraer-of-brazil