Question: Will the Minister of DEFENCE be pleased to satate :-

(a) whether the Government has made any new defence deals with other countries of the world recently;

(b) if so, the details thereof, country-wise;

(c) the steps taken by the Government to implement these deals in a transparent manner;

(d) whether any irregularities have been found in some of the defence deals recently and if so, the details thereof;

(e) the status of investigation in these deals; and

(f) the steps taken by the Government to curb the irregularities in defence deals?

Answer: Minister of Defence (Shri A.K. Antony)

(a) & (b) Yes, Madam. Contracts for the procurement of defence equipments have been signed with companies in various countries including Russia, USA, Israel, Switzerland, France, United Kingdom, Germany, Poland, Singapore etc. The equipment covers various types of weapon systems and platforms. Details are at Annexure-1.

(c) The Standard clauses in a contract include the following to ensure transparency:-

(i) Signing of Pre Integrity Pact.

(ii) Penalty for use of undue influence.

(iii) Prohibiting use of agents and payment of commissions.

(d) & (e) There have been certain allegations of irregularities in the procurement process in an Air Force case of VVIP helicopters and an Army case of Reconnaissance and Surveillance helicopters. Both cases have been referred to CBI for investigation.

(f) Procurement of Defence Equipment is carried out as per the Defence Procurement Procedure (DPP) and Defence Procurement Manual (DPM). This procedure contains stringent provisions aimed at ensuring the highest degree of probity, public accountability and transparency.

ANNEXURE-1

REFERRED IN THE REPLY GIVEN IN PARTS (a) & (b) OF LOK SABHA UNSTARRED QUESTION NO. 2621 FOR ANSWER ON 26.8.2013 Major contract signed with foreign countries during 2012-13:

Defence Acquisition

Defence Economics & Industry