“Undue Favours” to Armaris in Scorpene Deal


The table above, published in the latest audit report of the Comptroller & Auditor General (the Indian government’s audit body) lists out what it calls “undue favours” provided to Armaris, the consortium that was contracted for six Scorpene submarines in 2005 at a cost of Rs 18,798 crore. The report finds that a minimum of Euro 58.20 million (Rs 349 crore) besides other unquantifiable benefits, were allowed as advantages to Armaris in the contract. The conclusion: “To sum up, over nine years were taken to finalise the contract. Apart from theprice escalation, it is also likely to adversely impact the operational capabilityof the Navy. The Ministry / Naval HQ scaled down the original technicalspecifications and extended undue financial benefit to the vendor.”

Coming up: The India audit watchdog slams HAL

2 thoughts on ““Undue Favours” to Armaris in Scorpene Deal”

  1. Delays, delays and yet more delays. Where will all this take us really? India is turning from a blue water navy into a back water navy at the speed of light with everyone looking on and cheering.

  2. we are all fools reading what indian army,airforce and navy does … at the end it's nothing but disappointing and discouraging …

    this bloody is corrupt from start to end ..and a loser from beginning

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