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This is an archive article published on August 2, 2007

Gorshkov deal delayed, Russia fires shipyard head

The chief of a Russian shipyard where aircraft carrier Gorshkov is being refurbished at a cost of $1 billion has been sacked after India raised concerns about inordinate delays in the project.

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The chief of a Russian shipyard where aircraft carrier Gorshkov is being refurbished at a cost of $1 billion has been sacked after India raised concerns about inordinate delays in the project.

The Director General of Sevmash shipyard, Vladimir Pastukhov, has reportedly been fired for poor management as he underestimated the project cost and failed to inform authorities about delays in the modernisation of the carrier, which was to be overhauled and delivered to the Indian Navy by end of 2008.

The Indian Express had reported on April 25 how Admiral Gorshkov, or the rechristened INS Vikramaditya, stood delayed to at least 2010 with Russian shipbuilders underestimating the length of cabling required for the vessel.

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A high-ranking Sevmash official told Interfax-AVN news agency on Wednesday that Russia will not be able to meet the terms of the Gorshkov contract with India. “A realistic date for the carrier to undergo sea trials and be transferred to the Indian Navy is 2011,” he said.

Russian daily Izvestia said Shevmash could not hold the schedule for the overhaul and modernisation due to lack of money and mismanagement. According to some reports, prosecutors were trying to examine if there were grounds for a fraud case.

Indian Defence Ministry officials said the shipyard chief was shunted out after concerns were raised at the top level by Defence Minister A K Antony. Former Defence Secretary Shekhar Dutt had reportedly registered strong protest during his Russia visit in June for being kept in the dark about repeated failures to meet deadlines by the shipyard.

“The Navy was never officially told about any problem in the project. A strong signal was sent after reports of the delay,” a ministry official said.

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India is concerned as its sole aircraft carrier, INS Viraat, is scheduled to retire by 2010. It has also got feelers from Moscow that the cost of the Gorshkov modernisation is set to rise by at least $113 million.

Russia and India signed the contract in January 2004, making it one of Russia’s largest military deals with India. Under the contract, the Gorshkov carrier was to be modernised and equipped with modern weapons, including MiG-29K Fulcrum aircraft, and Ka-27 Helix-A and Ka-31 Helix-B anti-submarine helicopters.

Shevmash officials claim the funds allocated for the project weren’t enough, making it hard to meet the schedule. “We are practically building a new ship using an old hull and changing everything else,” Shevmash acting General Director Eduard Borisov said, adding that the company’s management had made a wrong estimate of the cost for modernisation.

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