Press Information Bureau
Government of India
Ministry of Defence
11-March-2013 15:06 IST
Black Listed Companies

Government has blacklisted following 6 firms for a period of ten years vide Ministry of Defence ID No.31013/4/2008/D(Vig) dated 11th April, 2012:

(i)                 M/s Singapore Technologies Kinetics Ltd. (STK).

(ii)               M/s Israel Military Industries Ltd. (IMI).

(iii)             M/s Rheinmetall Air Defence (RAD), Zurich.

(iv)             M/s Corporation Defence, Russia (CDR).

(v)               M/s T.S. Kisan& Co. Pvt. Ltd. New Delhi.

(vi)             M/s R.K. Machine Tools Ltd., Ludhiana.

All ongoing contracts between Ordnance Factory Board (OFB) and above noted companies have been cancelled.

No further contracts have been signed with any blacklisted company.

             CBI has filed a Chargesheet against Shri SudiptaGhosh, ex DGOF, for receipt of illegal gratification from the above mentioned firms. The case is sub-judice in the CBI Special Court, Kolkata. In addition, the Ministry has separately initiated departmental proceedings against Shri SudiptaGhosh, ex DGOF, under Rule 9 of CCS (Pension) Rules 1972.

Whenever any allegation of corruption in defence deals is received, suitable action is taken against the vendors and persons found guilty in such cases.

The Defence Procurement Procedure (DPP) contains stringent provisions aimed at ensuring the highest degree of probity, public accountability and transparency.

The Standard clauses in a contract include the following to check any irregularities

(i)Signing of Pre-lntegrity Pact

(ii)Penalty for use of undue influence

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

            This information was given by Defence Minister Shri AK Antony in a written reply to Shri Kalikesh N. Singh Deoand others in Lok Sabha today.