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Rafale Dassault gifted 1 million Euros to Indian middleman?

Rafale Dassault gifted 1 million Euros to Indian middleman?

Rafale Dassault gifted 1 million Euros to Indian middleman? French combat jet manufacturer company Dassault paid one million euros (Rs 8.6 crore) to an Indian middleman after the Rafale fighter jets deal between India-France agreement in 2016, a French magazine Mediapart report has revealed Dassault has not been explain to French anti-corruption agency, Agence Française Anticorruption (AFA), the total amount 508,925 euro was paid under “gifts to clients”, an investigation into Dassault group’s 2017 account books has revealed.

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In 2016, India and France signed a Rs. 59,000 crore deal, under which Dassault manufacture 36 Rafale jets for India. Dassault agreed to pay the amount to one of its sub-contractors in India, Defsys Soultion. Defsys provides solutions for defence and aerospace applications and owned by Sushen Gupta. Gupta was earlier arrested for his alleged role in Agusta Westland VVIP Chopper money-laundering scam in March 2019.

In 2017, the AFA was checking whether large companies are following the anti-corruption procedures set out in the French law as Sapin 2.

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In 2018, AFA spotted possibilities of corruption in the Rafale deal, AFA held audit of Dassault and found an item of expenditure, under the heading “gifts to clients”, cost 508,925 euros (Rs 4.3 crore). AFA asked Dassault for an explanation. Dassault said that money was used to pay for the manufacturing of 50 large replica models of Rafale jets. However, Dassault was not able to proved to the AFA that the models were actually made. Each model costs 20,357 euros.

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Now, this news is surfaced after the report of Mediapart, it revealed that the AFA did not alert the prosecution authorities over the payment, this scandal raises question on the both the justice system and the political authorities.

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