We are very happy that the names are out. And I hope the investigations are completed and the truth comes out and the guilty are punished, so that we can get down to business. The licence contract in the deal has not been utilised. All we have done is the supply contract side of it. We supplied 410 guns. But the transfer of technology for which India has already paid has not been utilised.
What are some of the commitments in your licence contract which you feel the Government should review?
We had agreed to update the equipment. We have compiled the documents for the update. We have agreed to transfer technology so that spares can be manufactured indigenously. We have all the technical data but the Indian Government does not want it because there is a ban on us. Remember, money has already been paid for it. It is a sheer waste of money.
There is a complaint that there is not enough ammunition for the Bofors guns.
They are having difficulty in producing it locally. We are ready to provide the inputs to make in-country production possible. We know that the authorities are not happy with the high explosive shell. Now I understand they are buying it from South Africa.
How was the ban communicated?
Verbally. We were never told in writing.
Is the Ministry of Defence happy with the gun?
It is satisfied with the gun. But they say there is nothing they can do since there is an embargo on us. Because of the ban, critical technical inputs for 155-mm guns are not being accepted. It is also affecting the 88-mm shoulder-fired, anti-tank gun which the earlier Bofors management had sold to the Indian Army. Then there is the 40-mm air defence gun. We have the papers for the technical upgradation but the Defence Ministry does not want it. It is the Indian Army and the Government which are losing out the most.
Has the Indian Government ful-filled all its financial commitments?
Yes, the 8.4 billion Kroners (Rs 1,700 crore) has already been paid. Under the contract, 50 per cent of the money was to be paid through a buy-back arrangement. We have fulfilled this part and we have bought bulk drugs, among other things, from India. Last year the State Trading Corporation communicated to us that our part of the contract has been fulfilled. Although, because of the devaluation of the rupee, we ended up buying for Rs 1,300 crore.
What efforts is Bofors making to get the ban lifted?
We have been knocking at the doors of the Defence Ministry. Perhaps things may change once the investigations are completed.
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