Sukshma Ramakrishnan By Online Desk Congress President Rahul Gandhi in his recent Lok Sabha speech during the debate on the No-Confidence Motion against the Modi government, attacked Defence Minister Nirmala Sitharaman for the umpteenth time over the Rafale fighter jet deal with France. In his latest jibe, Rahul accused Sitharaman of “lying” to the nation over the Rafale deal’s ‘secrecy’, while the Defence Minister has outrightly denied the claim. Since the Rafale deal was signed in 2016, Congress and BJP have been at loggerheads. Here’s a comprehensive look at the twists and turns in what the two parties have said on the issue over the last three years. September 23, 2016 An Inter-Governmental Agreement was signed between the governments of India and France for supply of 36 Rafale aircrafts, initial consignment of weapons, long-term maintenance support through performance-based logistics, simulators with annual maintenance and associated equipment. Media reports stated that India had agreed to pay approximately 7.8 billion euros (Rs 58,000 crore) for the jets. The delivery of the jets was scheduled to begin from September 2019. Prime Minister Narendra Modi and French President Francois Hollande had agreed to scale back an original plan to buy 126 Rafale planes to just 36 in fly-away condition to meet the Indian Air Force's urgent needs as it tries to modernise and face an assertive China and long-time foe Pakistan. February 5, 2017 In reply to an RTI query , details regarding supply of 36 Rafale aircraft cannot be disclosed as they are confidential in nature, the Air Force said. The information sought is confidential in nature and public revelation of the same may lead to its subsequent availability to our adversaries, the reply said. November 14, 2017 The Congress slammed the Modi government for compromising national security and alleged that a huge scam was brewing in the procurement of Rafale fighter aircraft for the Indian Air Force. The Congress said that the Modi government signed the Rafale deal on September 23, 2016, for the purchase of 36 Rafale fighter aircraft from Dassault for approximately Rs 58,000 crore and on October 3, Reliance Defence Limited, owned by Anil Ambani, tied up with the French company for a Joint venture for defence production in India. The Congress cited a Reliance document to point out that off-sets in the deal, which are half the cost of 36 aircraft, work out to the tune of Rs 30,000 crore. “That means the deal is worth Rs 60,000 crore,” said Congress spokesperson Randeep Surjewala, adding the government did not part with any information related to the deal despite several attempts by his party. Non-transparency in the deal also denied the transfer of technology to the public sector Hindustan Aeronautics Limited, the Congress further said. November 15, 2017 French diplomatic sources asserted that the Rafale fighter aircraft deal was in India's interest, a day after the Congress alleged that the BJP government was buying 36 aircraft from the French firm at a highly inflated price. The sources said the military jet was selected for its "outstanding performance" and "competitive price", while refusing to directly counter the Congress' allegation, terming it a "domestic political issue". November 16, 2017 Congress leader Rahul Gandhi tweeted , “Self "Reliance" is obviously a critical aspect of "Make in India. Can you explain "Reliance" on someone with nil experience in aerospace for Rafale deal?” Meanwhile, the IAF Chief of Air Staff Air Chief Marshal BS Dhanoa said that there was "no overpricing" in the Rafale purchase as the government had "negotiated a very good" deal for the French fighter aircraft. November 17, 2017 Responding to Congress, Defence Minister Nirmala Sitharaman said that allegations relating to the procurement deal for 36 Rafale fighter jet were "shameful" and that such bickering was a "disservice" to the armed forces. November 18, 2017 Congress vice-president Rahul Gandhi hit back at Defence Minister Nirmala Sitharaman over the Rafale deal, claiming it was "shameful" that her boss was "silencing" her. "Dear RM, what's shameful is your boss silencing you. Please tell us: 1. Final price of each Rafale jet? 2. Did PM take CCS permission before announcing purchase in Paris? 3. Why PM bypassed experienced HAL and gave the deal to AA rated businessman with no defence experience?" Rahul tweeted. Reacting to him, Sitharaman slammed the previous UPA government for not taking a decision on the Rafale fighter jet deal for about 10 years and said she could not spell out in detail what happened due to the delay as it involved the nation's security. The minister said that the procurement order was placed "properly" and "by not slipping away" from any procedures. She further said that the Cabinet Committee on Security approved the deal and all formalities were complied with. November 25, 2017 Rahul Gandhi, at a poll rally in Gujarat said , "I would ask Modiji three questions (on the Rafale deal). First, is there a difference in the cost of planes in the first and the second contract (signed with a French firm) and did India pay more or less money as per the second contract? And, has the industrialist (whose company has formed a joint venture with the French firm), who was given the contract, ever manufactured planes?" Further, he said, “And a more important question, did you follow the due government procedure? Why the (then) defence minister (Manohar Parrikar) was seen catching fish in Goa? And, was an approval from the Cabinet Committee on Security taken (for the mega deal)? Union Finance Minister Arun Jaitley hit back at Rahul , saying unlike during Congress regimes when middlemen ruled the roost, there was no “Quattrocchi" in the contract for the Rafale fighter jet. Jaitley was referring to Ottavio Quattrocchi, the Italian businessman believed to be involved in the Bofors scam which came to light when Rajiv Gandhi was the Prime Minister. December 1, 2017 Congress spokesperson Manish Tewari asked the government to make public the details of the re-negotiated deal for the public to draw a comparison on whether the deal negotiated now is better that the one done during the UPA rule.<doc-sep>New Delhi: With merely eight months left for the general elections, the purchase of 36 Rafale fighter jets – worth Rs 60,145 crore – is gradually becoming the biggest political thorn in the side of the Narendra Modi government. Days after Rahul Gandhi accused the Union government of hiding facts about the controversial fighter jet deal during the no-confidence motion in parliament, the Congress on Friday released a new set of documents to back up his claim that the Rafale purchase is one of the most blatant incidents of cronyism in independent India’s history. Alleging multiple violations in the deal that could compromise India’s national security, the Congress said that both the prime minister and defence minister Nirmala Sitharaman “lied” to the nation in order to favour the Anil Ambani-owned Reliance Infrastructure Limited. The Rafale deal was shrouded in mystery from the very beginning, ever since the prime minister announced the purchase during his visit to France in 2015. Subsequently, it came to light that the then defence minister Manohar Parrikar had gotten to know about the deal only a week before it was announced in a foreign land – a convention-defying act by the prime minister. Such deals have to compulsorily be approved by the cabinet committee on security but Modi unilaterally concluded the agreement. Then, it became evident that the Modi government bought each plane at more than Rs 1,600 crore while the previous UPA government had negotiated the deal with Dassault at only Rs 526 crore. The controversy became worse when it emerged that a joint venture company between Reliance Defence Limited (RDL) – a subsidiary of the Anil Ambani-owned Reliance Infrastructure Limited (RIL) – and Dassault Aviation secured the offset deal at Rs 30,000 crore. This raised eyebrows as the public sector defence company Hindustan Aeronautics Limited (HAL) had landed the offset contract in the deal that the UPA government had struck with the French aviation company. That RIL had no experience in manufacturing planes in contrast to HAL, whose sole occupation is manufacturing defence planes, ruffled many feathers last year. In addition, the clause which required Dassault to transfer its technology to HAL also found a quiet burial as the public sector company was denied its biggest ever offset contract. Since then, the government has only said that the Congress was “shameless” in alleging a scam as the government bought the planes in an emergency situation because the UPA wasted many years in implementing the previous deal. However, according to estimates, the first plane to land in India should take another five years. Despite persistent allegations by the opposition, the government has been shying away from letting out significant details of the agreement. There has been no factual rejoinder by the defence ministry yet. Sitharaman has only said that the cost of the planes cannot be divulged because of a secrecy clause in the deal. However, the matter assumed significance again when Gandhi on the floor of the parliament said that there was no secrecy clause and that the defence minister was misleading the nation to prevent the truth from coming out. Congress leaders since then have also alleged that none of the allegations made by the Congress over the past year found any response from the government. New documents On Friday, however, the documents released by the Congress made multiple points that the government will have to answer. Although the offset contract given to the Dassault Reliance Aerospace Limited – a joint venture between RDL and Dassault – is worth Rs 30,000 crore, the Congress released RIL’s papers which claimed that “a consequent Lifecycle Cost Contract” of Rs 1 lakh crore was also awarded to it. In this context, Randeep Surjewala, chief spokesperson of the Congress said, “What is surprising is that one of the biggest defence offset contracts went to a company, Reliance Defence Ltd, which was constituted only 12 days before (March 28, 2015) the announcement of purchase of 36 Rafale aircrafts by PM in France on 10th April, 2015. The company Reliance Defence Ltd. did not have the license to manufacture fighter aircrafts at that time.” Surjewala placed records of the ministry of corporate affairs, RIL’s press releases and company records to make his point that the Modi government had gifted the Anil Ambani-owned company a huge defence contract despite the fact that it neither had any industry experience nor any required assets. The Congress then trained its guns at the defence minister. Surjewala said that the ministry of defence had issued a press release on February, 7, 2018, which said, “…no Indian Offset Partner for the 2016 deal for 36 Rafale Aircrafts has been so far selected by the vendor (Dassault Aviation) because as per the applicable guidelines, Dassault Aviation is free to select the Indian Offset Partners and provide their details at the time of seeking offset credits, or one year prior to discharge of offset obligation”. However, he said that RIL had issued a press release a year earlier on February 16, 2017, to announce that it had secured the offset contract in the Rafale deal. “Even Dassault Aviation in its Annual Report 2016-17 has claimed that ‘offset contract’ is being executed by Reliance.” Surjewala said. “Simple question is, who is lying – Defence Minister, Nirmala Sitharaman or Reliance/Dassault Aviation,” he asked. He further said that if Dassault was free to choose its offset partner, as the defence ministry claims, it would be a clear violation of guidelines in such matters. The defence ministry set up a permanent ‘Defence Offset Management Wing’ (DOMW) and issued ‘Defence Offset Contract Guidelines’ for all ‘offset contracts’ in 2016. Surjewala said that multiple clauses in these guidelines made by the Modi government warrant all offset proposals and their progress will have to be approved and monitored by the defence minister and the “acquisition manager” in the defence ministry. The guidelines also said that six-monthly audits have to be conducted by ministry officials. “My questions to the government are as follows: Can Reliance and Dassault Aviation sign an ‘offset contract’ of Rs.30,000 crore without the approval of the defence minister?<doc-sep>The Congress leaders addressed a press conference today. The Congress today said there was no clause in a 2008 pact between India and France that prevents the government from divulging price details of the Rafale deal. Former defence minister and senior Congress leader A K Antony said the government's claim that a secrecy clause in the pact was forcing it to not reveal price details of the deal was "totally wrong". They have to reveal price details of each aircraft, he said. He also said the government cannot hide the price details of the Rafale jets as the deal has to be scrutinised by the Comptroller and Auditor General (CAG) as well as Parliament's Public Accounts Committee (PAC). Addressing a press conference, his colleague Anand Sharma added that the government owes Parliament an explanation on why Prime Minister Narendra Modi and Defence Minister Nirmala Sitharaman "misled" the nation on the price issue. "The French government had no objection in revealing the price of the Rafale aircraft. This was conveyed by the French president to Rahul Gandhi," he said. Another Congress leader, Randeep Singh Surjewala, echoed him said the prime minister and the defence minister misled parliament on the issue. This, he said, is clearly a matter of breach of privilege.<doc-sep>New Delhi: Congress president Rahul Gandhi’s fiery speech in Parliament on Friday has once again shone the spotlight on the controversial Rafale deal, which saw the ruling Bharatiya Janata Party (BJP) on the back foot. The Congress chief said defence minister Nirmala Sitharaman refused to disclose the price of the fighter jets, citing threat to national security. However, Dassault Aviation, in its annual report of 2016 and 2017, says they sold 36 Rafale aircraft for $7.5 billion (Rs 1,670 crore) per aircraft. The same was sold to Egypt and Qatar 11 months ago at Rs 1,319 crore per aircraft, thus highlighting a clear-cut loss of Rs 12,632 crore to the state exchequer, he said. News18 answers some key questions about the deal. What is Rafale? Rafale is a twin-engine, multirole fighter aircraft produced by French defence manufacturer Dassault. In 2012, the Indian Air Force (IAF) said the Rafale was its preferred aircraft. During Prime Minister Narendra Modi’s trip to France in 2015, India requested ‘rapid delivery’ of 36 aircraft in flyaway condition. The first squadrons of the Rafale are set to join the IAF fleet by 2019. While the aircraft will bring the much-needed respite for the IAF, the deal had raised several questions. The Congress has alleged that the government struck the deal by overpaying for the aircraft. India bought the 36 aircraft at a price of €7.1 billion. What is the ‘secrecy clause’ that Rahul Gandhi referred to? In his speech during the no-confidence motion in Lok Sabha on Friday, Congress president Rahul Gandhi alleged that Sitharaman had “lied” to Parliament at the “behest of the Prime Minister”. He said he had checked with French President Emanuel Macron, who denied that there was a secret pact under which India was asked not to reveal the price of the aircraft. In February this year, Congress’s Rajya Sabha MP MV Rajeev Gowda, in a written question to the ministry of defence, asked Sitharaman “whether Dassault (the French arms manufacturer of the Rafale jet) was penalised for refusing to fulfil its contractual obligations under the Medium Multi-Role Combat Aircraft (MMRCA) Request for Proposal; if so, the details thereof and if not, the reasons thereof”. To this, the defence minister replied, “There was no contract with Dassault for medium multi-role combat aircraft.” However, it was Sitharaman’s reply to the third part of the MP’s question that raised eyebrows. Gowda asked the minister the “cost per aircraft under the Inter-Governmental Agreement for 36 Rafale aircrafts”. To this, she said, “As per ‘Article-10’ of the Inter-Governmental Agreement (IGA) between Government of India and Government of France on the purchase of Rafale aircraft, the protection of the classified information and material exchanged under IGA is governed by the provisions of the Security Agreement signed between the two nations in 2007”. After several twists and turns, the Indian Air Force is reportedly set to get its share of the aircraft. Why has India opted for Rafale? Rafale was not India’s only choice. Several international aviation manufacturers expressed interest upon knowing the Indian government’s mammoth plan to revamp its air force fleet by introducing MMRCAs. Six renowned aircraft manufacturers competed to bag the contract of 126 fighter jets, which was touted to be the largest-ever defence procurement deal of India. The initial bidders were Lockheed Martin’s F-16s, Boeing’s F/A-18s, Eurofighter Typhoon, Russia’s MiG-35, Sweden’s Saab’s Gripen and Rafale. All aircraft were tested by the IAF and after careful analysis on the bids, two of them — Eurofighter and Rafale — were shortlisted. Dassault bagged the contract to provide 126 fighter jets as it was the lowest bidder and the aircraft were said to be easy to maintain. When did the actual procurement process begin? The IAF sought additional fighter jets in 2001. The current IAF fleet largely consists of heavy and light-weight combat aircraft. So the defence ministry considered bringing in intermediate medium-weight fighter jets. Though the idea has been around since 2001, the actual process began in 2007. The Defence Acquisition Council, headed by then defence minister AK Antony, approved the Request For Proposal to buy 126 aircraft in August 2007. This kick-started the bidding process. How many Rafale aircraft are we buying and what’s the cost involved? The deal was initially estimated to be worth $10.2 billion (Rs 54,000 crore). The plan included acquiring 126 aircraft, 18 of them in fly-away condition and the rest to be made in India at the Hindustan Aeronautics facility under transfer of technology. After Rafale won the contract, the Indian side and Dassault started negotiations in 2012. While it is usual for such negotiations to stretch to several months, the Rafale negotiations have been on for almost four years now. The agreement was signed in January this year. Why the delay? Both India and France witnessed national elections and a change in government while the negotiations were under way. Pricing was another factor. Even during the signing of the purchase agreement, both the sides couldn’t reach a conclusion on the financial aspects. According to sources, the price of an aircraft is about Rs 740 crore and India wants them for at least 20 per cent lesser. Though the initial plan was to buy 126 jets, India scaled it down to 36, that too in ready condition. How important is this deal to both India and France? For France: Rafale jets are currently being used mostly by France and also by Egypt and Qatar. Dassault is hoping that export of Rafale jets will help the company meet its revenue targets. India was the first country that agreed to buy Rafale, after it was used in Libyan airstrikes. If India inducts these jets in its military fold, other nations could express their willingness to buy the aircraft. For India: India chose Dassault over its traditional partner Russia’s MiG. It also ignored US’ Lockheed at a time when India and US were aiming for closer ties. Procurement of combat aircraft is long overdue for the IAF. Further delay can only make things worse. This deal is India’s biggest-ever procurement. In the effectiveness of the Rafale deal lies the future of other defence procurements.<doc-sep>
NEW DELHI: The war of words between the BJP and the Congress continued on Monday over the Rafale deal following Rahul Gandhi ’s allegations against Prime Minister Narendra Modi and defence minister Nirmala Sitharaman in Lok Sabha last week.While the government accused Rahul Gandhi of behaving "irresponsibly", the Congress, on the other hand, blamed the government for misleading Parliament and the nation over the fighter aircraft deal signed with the French government. "Dragging the French President into internal politics is unfortunate. His (Rahul) understanding of national security issues is poor and his party's stand is not in national interest," Union law minister Ravi Shankar Prasad said.The BJP leader claimed that Congress leaders like former prime minister Manmohan Singh and Antony may understand the sensitivity involved with the deal but were "forced" to demand that the NDA government share details of the fighter aircraft, to defend Gandhi. "Dynastic parties are always a crowd around a family. That is true of the Congress. Since a member of the family has resorted to falsehood, the crowd around the family has no option but to collectively sing the tune of falsehood. This is what has happened today," he said.The Congress dismissed the government's defence, saying there is no clause in the 2008 pact between India and France that prevents the government from divulging price details of the aircraft.Today, the Congress fielded its senior leaders -- former defence minister A K Antony, Anand Sharma and Randeep Surjewala, who issued a joint statement claiming the Prime Minister and the defence minister had sought to "lie" on the floor of Parliament.Former defence minister Antony said the government's claim that a secrecy clause in the pact was forcing it to not reveal price details of the deal was "totally wrong".They have to reveal price details of each aircraft, said Antony, adding that the more they are trying to hide, the more suspicion there is about the deal.Earlier today, four BJP MPs submitted a privilege notice against Congress President Rahul Gandhi, accusing him of "misleading" Parliament by making "false" allegations against Prime Minister Narendra Modi and defence minister Nirmala Sitharaman. The Congress party, too, is expected to give a notice of privilege motion against the PM and the defence minister in the Lok Sabha.BJP MPs Nishikant Dubey, Anurag Thakur Dushyant Singh and Prahalad Joshi have given the notice to Lok Sabha Speaker Sumitra Mahajan.As soon as the Question Hour got over, Dubey said a privilege motion has been moved by his party. "Whenever Rahul Gandhi speaks, it only helps in increasing the votes of BJP," he said.According to the rules of the House, Gandhi should have given prior notice before making any allegations against any member. He should have given substantiating material to the Speaker, parliamentary affairs minister Ananth Kumar had said, adding notice for privilege motion against Rahul Gandhi will be given for "falsehood and misleading" Parliament.Shortly after the submission of notice against the Congress chief, Speaker Sumitra Mahajan, amid protest by Congress MPs, said, "I will look into it and then let you know".Later in the day, the Congress accused the Prime Minister and defence minister of misleading Parliament and the country on the Rafale pricing issue, saying there is no clause in the 2008 pact between India and France that prevents the government from divulging price details of the aircraft.Surjewala further added that the Prime Minister and the defence minister misled Parliament on the issue and it is clearly a matter of breach of privilege.Asked if the Congress would give a notice of privilege motion against the Prime Minister and defence minister, he said, "The issue pertains to the Lok Sabha and the leader of the Congress parliamentary party will take a decision on the issue soon. "The allegations against Rahul Gandhi relate to his speech during the debate on the no-confidence motion on Friday last week in which he had raised the issue of a secrecy clause in the Rafale fighter jet deal with France. The Congress chief had also accused the Prime Minister of benefiting "one industrialist" in the deal.The BJP has also objected to Gandhi's comments regarding "betrayal" the Indian Army in Doklam, and dubbed them as "unsubstantiated charges".