NEW DELHI: The central agency, Central Bureau of Investigation on Monday registered a criminal case relating to the Bofors gun deal and said even the former prime minister; Rajiv Gandhi could be examined if necessary.

The 66 page FIR filed in a Delhi court did not name Gandhi or any other politician but said 14 accused had been listed including Martin Ardbo, former president of Bofors, Win Chadha and GP. Hinduja.

Briefing newsmen immediately after filing of the case, CBI director Rajendra Shekhar said that Gandhi as former Prime Minister had obviously rejected recommendations made by four of his top aides to threaten the Swedish arms company to cancel the 1,3 billion dollars deal if Bofors failed to: disclose the names of the recipients of alleged kickbacks.

Shekhar said that the former ‘Continued on Page 10 defense minister, K.C. Pant, the former minister of state for defense, Arun Singh, former army chief, K. Sunderji and the then attorney general, K. Parasaran had stated that even a threat to cancel the contract could have forced Bofors to disclose the names.

Shekhar noted that other accused persons had not been identified by name but were referred to as directors or beneficiaries of certain companies including Bofors, Anatomic General Corporation (New Delhi), Svenska Inc. of Panama, Pitco/Moresco/Moineao SA of ‘Switzerland and AE services of the United Kingdom.

Shekhar said that these were allegedly the companies to which payments have admittedly been made by Bofors totaling more than 319.40 Swedish kroners (40 million dollars at the then prevailing exchange rate).

The offenses mentioned in the FIR were criminal conspiracy, corruption, abuse of official position by public servants and thereby, causing pecuniary advantage, cheating, criminal breach of trust and forgery.

“With the registration of FIR, CBI would now commence investigation of the case and collect documentary as well as oral evidence in India, Sweden, Switzerland and other places. Assistance of the Interpol would also be sought.” Shekar said.

Shekhar alleged that his predecessors, “fooled around,” with the matter. “Only as late as December 1989, the CBI was permitted access to a number of classified and unclassified documents of the central government especially the ministry of defense relating to the contract,” he added.

Meanwhile, the opposition Congress (I) party described the FIR filed by the CBI as an “eyewash” and demanded that the government immediately disclose the names of the recipients of kickbacks from the Swedish company.

“The government of India should come out with a clear statement on who took money from Bofors,” party general secretary K.N. Singh told the press here.

Asked how the party would react if its president Rajiv Gandhi were to be questioned by the CBI, Singh said that others involved, including the then finance minister, VP Singh, should be examined, “Let the process start we will welcome it. Everyone should be examined. Let the truth come out,” he said,

The Bofors gun deal was a major campaign issue in the last November’s parliamentary elections.

Article extracted from this publication >> January 26, 1990