Embraer Jet Deal: Defence Ministry Asks CBI to Probe ‘Kickbacks’

India’s defence research agency has been looking into graft allegations in the deal over the last five years.

Embraer ERJ 143, which was modified by DRDO and equipped with RADAR capabilities for use of Indian Air Force. Picture used for representational purposes. (Photo: iStockphoto)

The Defence Ministry has asked the CBI to probe allegations that kickbacks were paid in the $208 million Embraer aircraft deal that the Defence Research and Development Organisation (DRDO) had struck with the Brazilian aircraft manufacturer during the UPA regime in 2008.

Defence Minister Manohar Parrikar had, earlier this week, said:

If there is a criminal angle then the CBI will probe as the Ministry cannot. If only procedural issues are involved, then the Defence Ministry can do an internal investigation. 

The deal for purchase of three Embraer aircraft during the UPA regime has kicked up dust with the US authorities going into alleged payment of kickbacks.

The deal has come under the scanner of the US Justice Department which has been probing Embraer for alleged payment of bribes to secure contracts. The DRDO has already sought a report from the Brazilian firm, which has said it has been looking into graft allegations over the last five years.

The deal was signed in 2008 between Embraer and the DRDO for three aircraft equipped with indigenous radars for airborne early warning and control systems.

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