HAL first made the claim in June 2009. After attempting to get HAL to withdraw the claim and continue with the license build, BAE has finally officially refused to compensate HAL for various glitches in the license build contract that had cost implications for the latter. The BAE spokesperson further said, “HAL is now in an advanced stage of series production of the world’s most successful advanced jet trainer that is revolutionising the training provided to the IAF’s frontline fighter pilots. We believe the parties should focus on continuing this success story.”
As you might imagine, HAL sees things very differently, and doesn’t believe the Indian Hawk programme is a success at all. In fact, it is precisely this and other incidents that forced HAL to recommend to the government that BAE not be benefitted with a follow-on order for 57 more Hawks (40 fo the IAF and 17 for the Navy).