Defence Scam: Nod to Prosecute 2 Govt Officials

Discussion in 'Internal Security' started by AVERAGE INDIAN, Jun 7, 2014.



    Sep 22, 2012
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    Detroit MI
    KOCHI: The State Government has granted permission to the CBI to prosecute two government officials who are accused in the graft case involving deals of ordnance factories for supply of battle tank components to the Defence Ministry.

    The government has given permission to prosecute S Shanavas and A Valsan, former managing director and former deputy general manager, respectively, of the Steel Industries Forging Limited (SIFL), Thrissur.

    The CBI officials said they had applied for sanction to prosecute the officials three months ago.

    “Shanavas and Valsan are currently in suspension. The sanction for prosecution was granted three days ago. Since we have received the sanction, the two government officials could be chargesheeted now,” CBI officials said.

    On the other hand, the CBI is still awaiting the prosecution sanction from the Defence Ministry for prosecuting V K Panda, general manager of Ordnance Factory Medak. CBI officials said that it would take some time for receiving the sanction, and they will have wait for the response from the Defence Ministry for filing the chargesheet.

    “Usually the Defence Ministry takes a long time to grant sanction to prosecute its officials. We hope the sanction would be granted in the next few weeks,” CBI officials said. At present, there are six accused, including V K Panda, general manager of the ordnance factory; S Shanavas and A Valsan, managing director and deputy general manager, respectively of SIFL, Thrissur; and Muralidhar Bhagvat and K R Mugilan, former managing director and manager, respectively, of AMW-MGM Forgings, Mysore. The CBI has turned Subi Mally who acted as mediator between the two companies as approver and witness in the case.

    The CBI case over the defence scam was that when a limited tender was floated in 2011 for road-wheel arms, the accused persons allegedly conspired and hiked the price of the components. When the original cost of the tender was Rs 9,000, the SIFL was given a tender for Rs 13,950 for a single piece, while AMW-MGM was given for over Rs 14,000.

    The contract was shared between the two companies in 60:40 ratio. The cost of each road-wheel arm was fixed at Rs 13,500. While the SIFL won orders worth Rs 1.5 crore, the remaining orders went to a private firm.

    Subi Mally had allegedly asked 12 per cent commission from the accused officials as consultation fee.

    Subi had submitted before the CBI that she had given Rs 3 lakh to Panda for issuing tender to the SIFL. The Central Bureau of Investigation has arrested all the accused persons, and later released them on bail.

    Defence Scam: Nod to Prosecute 2 Govt Officials - The New Indian Express
  3. Ray

    Ray The Chairman Defence Professionals Moderator

    Apr 17, 2009
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    Go for the crooks in a big way.

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