The government is looking into complaints against the procedure to determine the winner of the multi-billion dollar combat aircraft deal, Defence Minister A K Antony said Thursday as he admitted that there was no money to sign such a big deal this fiscal.
“There are complaints about the procedure of calculating the life cycle cost and that issue is not yet settled. Before bringing the deal before the Cabinet Committee on Security for final approval, we would like to get clear on that aspect,” he told a press conference.
Antony hoped the deal will be finalised in 2014-15.
- Varun Gandhi Under Attack Over Defence Deals: Here’s How
- This Diwali, Let Blind Students Brighten Up your Homes With Candles & Diyas
- CBI Files Supplementary Chargesheet In Sheena Bora Murder Case
- Soha Ali Khan And Vir Das Starrer 31st October Audience Reaction
- Sahara Chief Subrata Roy’s Parole Extended Till November 28
- Simple Tips To Secure Your Debit Card From Fraudsters
- New Zealand & India Team Being Welcomed In Chandigarh
- Mumbai Call Centre Scam: All You Need To Know
- Jammu Kashmir Chief Minister Mehbooba Mufti Appeals To Police: Here’s What She Said
- Shocker From Ahmedabad: Find Out What Happened
- Bigg Boss 10 Day 3 Review: Celebs Fail To Do Well in First Task
- Airtel Offers 10GB Data At Rs 259 For New 4G Smartphone Users
- Aamir Khan Starrer Dangal’s Trailer Launched: First Impressions
- TMC Supporters Attack BJP Leader Babul Supriyo
- Sri Lankan Navy Apprehends 20 Indian Fishermen
France’s Rafale fighter aircraft has been the lowest bidder in the medium-multirole combat aircraft deal, which is touted as the “mother of all deals” and is expected to cost India more than Rs 60,000 crore.
As per the Indian defence procedure, firms offering the lowest prices and meeting the requirements of the respective services are given the contract and in this deal to procure 126 combat aircraft, the LCC has been taken into view to determine the lowest bidder.
Senior BJP leader and former finance minister Yashwant Sinha has written to Antony raising a number of questions over the “conceptual shift” in the defence procurement policy and expressed fears that the LCC concept may bring in corruption.
Asserting that the negotiations in the deal were still progressing, the defence minister said the financial condition of the government was not good and “there is no money for this.”
“Almost all the budget has been spent. Many other projects are also in the pipeline,” he said.
Asked whether the government would buy more Su-30 MKI combat aircraft from Russia if the deal with the French aircraft manufacturer does not fructify, Antony expressed hope that, “The MMRCA will materialise next year.”
He said the government was making headway in the deal and taking all possible care in the process to ensure there are no loose ends.