The Interpol, at the request of the CBI, has a long-standing red corner notice to arrest Quattrocchi. [2] While the case was being investigated, Rajiv Gandhi was assassinated for unrelated reasons by the LTTE. A special CBI court in Delhi on March 4, 2011, had discharged Quattrocchi from the case saying the country could NEW DELHI: Former CBI joint director K Madhavan (83) passed away on Saturday in New Delhi. [19], As there was no extradition treaty between India and Argentina, the case was presented in the Argentine Supreme Court. The British government released the funds later. Click here to join our channel (@indianexpress) and stay updated with the latest headlines. THE SCANDAL Aiming to replace the old field guns and artillery in the hands of the Army, the Indian government in the mid-1980s decided to go ahead with the purchase of bigger caliber 155 mm howitzers. This practice was made illegal by Rajiv Gandhi in 1985 as it led to large kickbacks being paid in defence deals, especially those related to aircraft and ships. The two accounts, containing €3 million and $1 million, had been frozen. It was an Iron and steel company established some 350 years back in the year 1646. Read | Bofors case to be reopened? [5] The Swedish company paid ₹640 million (US$9.0 million) in kickbacks to top Indian politicians and key defence officials. President Pranab Mukherjee has said that it has not been proven in any Indian court that the Bofors case was indeed a scandal. The scandal contributed to the defeat of Rajiv Gandhi governmentin the elections three years later. It was the biggest arms deal ever in Sweden, and money marked for development projects was diverted to secure this contract at any cost. [33] The then defence minister Manohar Parrikar announced that in such cases, middlemen would be paid by the government for fixing arms deals under the name of "legal fees".[34]. The filing of the appeal assumes significance as Attorney General K K Venugopal had recently advised the agency against moving a petition against the high court verdict after a delay of 12 years. Pranab Mukherjee defends Bofors scam, says it was just a media trial. Tell us which of these scams has caused the most damage to the country? [15], Meanwhile, the central government changed and Indian National Congress came to power after 2004 Lok Sabha elections. For most of us, Bofors is a reminder of corruption in defence deals. Bofors deal turned into a huge scandal after Swedish Radio claimed bribes were paid for it. [22], Despite the controversy, the Bofors gun was used extensively as the primary field artillery during the Kargil War with Pakistan and gave India 'an edge' against Pakistan according to battlefield commanders. The scale of the corruption was far worse than any that Sweden and India had seen before and directly led to the defeat of Gandhi's ruling Indian National Congress party in the November 1989 general elections. Later the articles were published in The Indian Express and The Statesman when The Hindu stopped publishing stories about the Bofors scandal under immense government pressure and Chitra Subramaniam moved to the two newspapers. [7] The journalist who secured the over 350 documents that detailed the payoffs was Chitra Subramaniam reporting for The Hindu. Madhavan's career ended on a sad note. He passed away on July 13, 2013. The scandal rocked the Rajiv Gandhi-led government in the late 1980s. On 5 February 2004 even before Indian National Congress came to power in India, the Delhi High Court quashed the charges of bribery against Rajiv Gandhi and others,[16] On 31 May 2005, the Delhi High Court dismissed the allegations against the British business brothers, Srichand, Gopichand and Prakash Hinduja, but charges against others remain. The lifting of the ban came during the Kargil War, when the Bofors guns proved to be efficient but were crippled by a shortage of spare parts. In 1987, Swedish Radio alleged that Bofors paid illegal commissions of Rs. [13] In second half of 2001, Win Chadha and S. K. Bhatnagar died. According to him, the Bofors 'scandal' was just a media trial. Though it was widely believed that V. P. Singh resigned from Rajiv Gandhi's cabinet due to the Bofors scandal, Singh clarified that he had resigned due to differences in the cabinet in commissions taken by Indian agents in the HDW submarine deal (Shishumar class)[28], Middlemen were employed in arms deals in India, both during the British Raj as well as in independent India, and commissions were paid to them under various headings and guises. The government of India lost the extradition case as the government of India did not provide a key court order which was the basis of Quattrocchi's arrest. [12], On 22 October 1999 (when National Democratic Alliance government led by the Bharatiya Janata Party was in power) the Central Bureau of Investigation (CBI) filed the first chargesheet against Quattrocchi, Win Chadha, Rajiv Gandhi, the defence secretary S. K. Bhatnagar and a number of others. [21] However the case is still going on. CBI chargesheet in Bofors scandal. But he was taken off the case on October 22, 1991. 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Bofors scandal. NEW DELHI: Former CBI joint director K Madhavan (83) passed away on Saturday in New Delhi. It was Madhavan who investigated some of the sensational cases in the country such as the Bofors scandal and Bhopal Gas tragedy. [2], On 24 March 1986, a $285 million contract between the Government of India and Swedish arms company Bofors was signed for supply of 410 155 mm Howitzer field guns. [29] Some of these were paid as personal bribes while others were paid as contributions to political parties. In 1999, the ban on Bofors Ab was lifted, a development that came at a time when the Kargil war was underway. It was alleged that certain public servants and private persons in India and abroad had entered into a criminal conspiracy between 1982 and 1987 in pursuance of which the offences of bribery, corruption, cheating and forgery were committed. May 11, 2012: 25 yrs after Bofors, army buys howitzers for 3000 cr In first after Bofors, army buys howitzers for 3000 cr [13], However, on 16 January 2006, CBI claimed in an affidavit filed before the Supreme Court that they were still pursuing extradition orders for Quattrocchi. A supplementary charge sheet was filed against the Hinduja brothers on October 9, 2000. [9][11] As a result of the revelations, the Indian government blacklisted Bofors in 1987, preventing the company from doing business in India.[12]. [2] In 1997, the Swiss banks released some 500 documents after years of legal battle. The CBI filed a chargesheet against Quattrocchi, Win Chadha who was an agent of the Swedish arms manufacturer Bofors AB, Defence Secretary S.K. Essay on Ethics and Corruption in Governments Around the World 1384 Words | 6 Pages. On January 22, 1990, the Central Bureau of Investigation (CBI) lodged an FIR against the then president of Bofors Martin Ardbo, the alleged middleman Win Chadda and the Hinduja brothers for criminal conspiracy, cheating and forgery. Just 4 days after the resignation of V P Singh, the news broadcasted on Swedish radio relating to Bofors. Bofors company: Firstly 'Bofors' is a Swedish arms manufacturing company. 05", "CBI seeks time to mull on Quattrocchi's case", "Bofors case: 'Petitioner interested in cheap publicity, "Bofors scam: Italian businessman Ottavio Quattrocchi dies", "Bofors gun helped India win against Pak", "Rajiv Gandhi told me to use arms deal payoffs for party funds: Ex-CBI chief", "Rajiv Gandhi wanted Bofors money to run Congress: Ex-CBI chief", "The bofors story : 25 years after - an interview with Sten Lindstrom", "Walk the talk - an interview with V.P.Singh", "Arms and the Middlemen - 7 September 2016", "India Puts New Arms Deals With Finmeccanica On Hold", "Modi govt to legalise middlemen in arms deals? [25] However, as per Sten Lindstrom, the former head of Swedish police, who led the investigations, they did not find anything to suggest that payments had been received by Rajiv Gandhi. Red corner notice to arrest Quattrocchi just a media trial, never appeared before any court in India were of... 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