Under A Cloud Of Suspicion

THE controversy over the "unfortunate oversight" of a PMO official in ordering an inquiry into the antecedents of air chief marshal S.K. Sareen has begun to boomerang on the air chief himself. While senior officers of the three services roundly criticised the inquiry, the defence ministry, as well as the PMO, have begun to take a closer look at the long list of allegations against Sareen—pertaining to wealth disproportionate to income, his role in the Sukhoi deal and the dipping morale in the air force under him.

The Rs 7,000 crore deal for 40 SU-30 aircraft has already been dubbed a bad choice. According to a senior IAF officer, the deal was allegedly struck because of the huge kickbacks involved—one estimate puts the paybacks paid to Indians at 15 per cent of the total amount. India has already invested Rs 2,380 crore for eight SU-30s, which at the moment can only perform for air shows. They cannot be used for combat till its weapons systems are developed and delivered by the Russians, which, aviation experts point out, is likely to take a few years.

Sareen, it is reliably learnt, was the strongest votary of the SU-30. Sareen pushed for the deal, despite a host of senior air force officers expressing reservations about buying aircraft from the Russians. In the past, the Russians have often defaulted—and despatched aircraft that failed in the long run. It's happened with the SU-30 as well. Now, there are fresh murmurs of protest in the force that the SU-30s do not suit the country's requirements.

The BJP had been very critical of the Sukhoi deal, signed at the fag-end of Narasimha Rao's tenure as prime minister when an advance of Rs 800 crore was paid. Later, when Mulayam Singh Yadav was defence minister in the United Front government, the second lot of payments was handed out. What is strange is that the BJP, which had strongly protested when the deal was first struck, did not rake up the issue when the UF government sent the second instalment to the Russians.

According to a senior defence ministry source, the entire contract will be investigated by both the IB and RAW since the Sukhoi deal involved two NRI defence agents, Rajeev and Sudhir Chaudhary. Points out the source: "We are not making any charges. But since the Chaudhary brothers, known for their dubious deals, were involved, there is this feeling that those who were party to the deal should be investigated and air chief marshal Sareen happens to be among those connected with the deal."

Quoting intelligence reports, the source says the Sukhoi contract had raised many eyebrows in Russia as well. The Russian media flashed many reports of the alleged kickbacks to Indian politicians, bureaucrats and air force officers.

This apart, it is learnt that prime minister A.B. Vajpayee as well as defence minister George Fernandes have received complaints about Sareen's brazen 'show of wealth'. The air chief has in the last one year been constructing two palatial houses—one in Gurgaon, on the outskirts of Delhi, and the other close to the Naldhera golf course in Shimla. It is alleged that a salaried officer couldn't have built the two houses, complete with a plush, expensive decor.

The air chief, who is known to love his golf, is allegedly behind the construction of a nine-hole golf club in Gur-gaon close to his new house—and the air force armaments dump—at a cost of about Rs 90 lakh. In fact, the golf club flouts building rules which clearly lay down that no construction should come up within 1,000 metres of the air force armaments dump. When questions were raised by the defence ministry on the need for a golf course, the entire project was rechristened as the Indian Air Force Sports Complex and the 1,000 metre ceiling promptly waived. The existing air force golf clubs in Delhi and at Hindon, outside the capital, were also renamed as sports complexes.

Sareen's two houses are almost reaching completion and the work has been done in the span of a year. Photographs of both the constructions have been sent to the PMO as well as the defence ministry. "The allegations are piling up against the air chief and we cannot ignore them forever," admits an air force official.

Every September-October, there is a routine check on all senior officers of the three services. But this time round, the defence ministry is giving a new twist to what should have been a routine affair because of the growing differences between the bureaucracy and the service chiefs. The main target seems to be Sareen who, as chairman of the chiefs of staff committee, whipped up hysteria about the inquiry into his past. Bureaucrats claim Sareen purposely played up the story to create a "sympathy wave".

In this he has succeeded. All senior officers met by this correspondent were unanimous that if the antecedents of the bureaucrats attending the commanders' conference did not have to verified, there was no reason to dig into the past of the service chiefs. They say that the practice, put into effect seven years ago, should be immediately scrapped.

But the bureaucracy now hopes to hit back at Sareen. And is capitalising on the fact that the air chief is a much disliked man among his own flock. Earlier this year, Sareen's arbitrary decision to raise the flying allowance of fighter pilots by as much as Rs 9,000 a month led to a near revolt in the air force. Ground staff and engineers struck work at various centres and the air force retaliated by cracking down on the striking staff.

To break the strike, many airmen and officers were transferred. The core group of 11 officers who had mustered the courage to demand a pay hike have been shunted out. Others were subjected to third degree torture—some were declared insane and discharged after being examined by air force psychiatrists. "There must be no other air chief who has been so hated in the history of the air force," says a serving wing commander.

The scars of the revolt have not quite healed. If the ground staff and engineers of the force are to be believed, the manner in which the entire issue was dealt with has only widened the rift between the flying officers and the ground staff. In fact, it was so ill-handled, that air force officers privately admit that this could hamper the effectiveness of the force.

Questions are also being raised about the air chief's growing interest in the upmarket Santushti shopping complex in Delhi which is being run by the Air Force Wives' Welfare Association (AFWWA) of which his wife is the president.

The Santushti complex is located on prime defence land on Race Course Road and is worth a fortune. A special audit report of a high-powered committee, headed by an additional secretary in the defence ministry, has accused Santushti authorities of diverting Rs 4 crore for private purposes.

Incidentally, Sareen has been allegedly resisting all attempts by the defence ministry to take complete control over the Santushti complex. Though the land now officially belongs to the ministry, following a court order, the revenue still goes to the AFWWA. According to unofficial estimates, the 31 shops in the complex pay Rs 56 lakh per month to the AFWWA in rent alone. It is alleged that much of the money is not accounted for.

Sareen, according to a source, is keen that the revenue continues to go to the AFWWA's kitty. He apparently even wrote a letter to defence minister Fernandes highlighting the good work of the organisation his wife heads. Sources say the chain of events has only firmed the bureaucrats' resolve that the defence ministry should have total control of the complex.

 The tussle between the air chief and the bureaucracy, if it is not nipped in the bud, will invariably lead to more mud-slinging. Whether the charges stick or not, Sareen's fate is now in the hands of political bosses. Who will decide whether the air chief should get an extension when his term comes to an end this December.