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This is an archive article published on October 30, 2009

Independent monitors can probe corruption charges in defence deals

To bring more transparency in defence deals,the government has decided to give independent monitors appointed in consultation with the Central Vigilance Commission access....

To bring more transparency in defence deals,the government has decided to give independent monitors appointed in consultation with the Central Vigilance Commission access to official records to probe corruption charges.

The new provision,added to the amended Defence Procurement Policy (2009) released on Thursday,is aimed at enhancing “probity and public accountability”.

It would give independent monitors,including institutions promoting transparency,the power to investigate all allegations of corruption.

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A set of amendments in the policy is aimed at giving a boost to the Indian private sector,lifting the shroud of secrecy on defence procurements by making it mandatory to put all request for information (RFI) public.

The government has decided that request for proposals to procure defence equipment,earlier issued only to foreign vendors,can now be given to Indian companies with requisite financial and technical capabilities.

Under the revised Defence Procurement Policy,which will come into effect from November,Indian firms that have tie-ups and technology transfer of defence equipment from foreign firms would be issued tenders for all defence purchases,Defence Minister A K Antony said.

The Armed Forces would also make public their 15-year-long term acquisition plans so that companies here can make products and enter into tie-ups for technology transfer accordingly. The policy would also make it compulsory for the Armed Forces to issue RFI on the Ministry of Defence website in all acquisition cases.

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Experts say the policy could help in cutting middlemen’s role as foreign firms would legally be able to tie up with Indian companies who would in turn interact with the government.

“This would help Indian industry to work out the technological requirements and build in-house capabilities in order to meet future defence requirements. I am sure the industry will respond positively to the proposal,” Antony said.

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