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Assault Rifles Hit Home: PART TWO

The Home Ministry responds to Tehelka on the Kalashnikov scam but opens itself up to further scrutiny

Aman Khanna

New Delhi

Facts versus government
Tender specifications
MHA: “The Tender Enquiry was issued for procurement of
AK-47 / AKM-Series Rifles… M/s FSUE Rosoboronexport, Russia submitted the sample of AK-103 Series rifles which was not meeting the Tender Enquiry requirements, hence they were disqualified.”
Facts: The commercial proposal submitted by Rosoboronexport clearly stated that they could deliver “7.62mm Kalashnikov assault rifles, AKM ammunition and spare parts.” The MHA should know that the production of AK 47s stopped in 1975.
Gunrunning
MHA: “No such information regarding M/s Kintex or M/s KAS Engineering Consortium has been received in MHA. Moreover, Embassy of the Republic of Bulgaria in India had verified/certified that M/s Kintex Shareholding Company is a 100% Government owned company of Bulgaria.”
Facts: The Bulgarian government has admitted to Kintex’s role in gunrunning. So have international organisations. The question: is the crime less culpable just because it is state-sponsored?
Price factor
MHA: “Kintex quoted the price of $184 per rifle for the fixed butt version and $193 for folding butt version. The price negotiating committee brought it down to $155 for fixed butt and $163 for folding butt rifles, ensuring a saving of over Rs 9.46 crore.”
Facts: The Russians had quoted between $150 and $160 to begin with. All Companies lower their quoted prices. Rosoboronexport, would have dropped their prices too.
The fine print
MHA: “The total value of acquisition of 64,000 AK-47 rifles is around Rs 53 crore and not Rs 20,000 crore.”
Facts: The total value of acquisition is, indeed, about Rs 53 crore as originally reported by Tehelka. But the rest of the 20,000 crore is also in the pipeline, to be spent on police modernisation over the next 10 years.
Patent lies
MHA: “As per the standard contract clause regarding patent and other industrial property rights the tenderer shall be responsible for the completion of the supplies, irrespective of the fact of infringement and supplier shall also be responsible for any infringement of such rights.”
Facts: The MHA was reminded repeatedly by Rosoboronexport about intellectual property rights violations. If they choose to sue Bulgaria, the supply of weapons may get affected.

The honourable government of India is either squint-eyed or has willingly decided to play so. For, what else explains the Ministry of Home Affairs’ (MHA) decision to gift an arms contract worth about Rs 53 crore to Bulgaria, a country whose agencies have tried to push weapons into the hands of terrorists operating in India.


“No such information has been received in (sic) the Ministry of Home Affairs. Moreover, the Embassy of the Republic of Bulgaria in India had verified/certified that M/s Kintex Shareholding Company is a 100 percent government owned company of Bulgaria,’’ wrote Bhoop Singh, deputy director, procurements, in a letter to Tehelka after we reported the Kalashnikov scam last week.

Does the ministry — the nodal point responsible for India’s internal security — need reminding that the arms dropped over Purulia, West Bengal, were also procured from KAS Engineering Consortium, a state-owned Bulgarian agency? Instead of asking Bulgaria to explain, it awarded the Kalashnikov deal to Kintex, another Bulgarian company. Incidentally, the Bulgarian government has, under international pressure, admitted to Kintex’s involvement in various illicit arms deals. One of these includes the supply of weapons worth $15 million to Saddam Hussein’s Iraq. Worse, this was done on the basis of false end-user certificates.

M/s KAS was accused of supplying the prized collection of lethal weapons that were airdropped over Purulia on the night of December 22, 1995. The parcel included 300 assault rifles, 25 rocket launchers, 80 anti-tank rocket-propelled grenades, hundreds of hand grenades and 25,000 rounds of assorted ammunition.

International Action Network on Small Arms, a global network of civil society organisations working to stop the proliferation of small arms, too expressly pointed fingers at KAS. In its study, The Arms Fixers, the group says that a UK-based firm, Border Technology and Innovations, ordered the consignment of arms from KAS. According to the report, “BTI turned to a well-known Bulgarian arms manufacturer, KAS Engineering, whose subsidiary, the Arsenal Company, was in a position to sell pistols and Kalashnikov rifles at low prices.” Even Oxfam, the UK-based NGO, has indicated that KAS helped broker the deal.

That KAS’ involvement in the Purulia arms drop is widely known is underlined by the fact that an attorney named Deepak Prahladka filed a petition in the Calcutta High Court in 1999 seeking the arrest of two KAS directors.

In any case, it is not just India that KAS has been messing around with. Just like Kintex, KAS, too, has been indicted for pumping arms into Africa. In 2001, a UN Security Council Monitoring Mechanism, keeping a close watch on the arms embargo on Angola, linked KAS to Victor Bout, debatably the most wanted gunrunner in the world.

Bout, apparently, helped KAS to provide fake end-user certificates [documents which expressly give the end recipient’s name] in the name of the Government of Togo. Moreover, barring one instance, all weapons were transported from the Burgas airport in Bulgaria to Angola in airplanes belonging to Bout’s company, Air Cess.

Bulgaria, in fact, is replete with examples of shady deals because its economy is heavily dependent on the sale of weapons. Another report produced in 2001 by Saferworld, an independent UK-based foreign affairs think tank, details the various firms pushing weapons into armed conflicts. EMCO, the leading Bulgarian dealer, sold arms worth $25 million, mostly to Ethiopia and Angola. Another firm, Bul-Air, pushed arms worth $20 million to Eritrea. Business tycoon Mikhail Liskov’s Arsenal Corporation, too, pumped arms worth $7-8 million into Chad and Angola.

In the face of all this, the question bears repetition: would the Indian government still like to remain squint-eyed?


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