Tatra case: CBI to quiz ex-BEML chief

The CBI, probing the alleged irregularities in the purchase of more than 6,000 Tatra trucks for the Indian Army, is now planning to question a former chairman of the state-owned Bharat Earth Movers Limited (BEML) who had served in 1997.
The Enforcement Directorate (ED) has also started probing the Tatra trucks deal with the registration of a money laundering case against London-based businessman Ravi Rishi, chief of the UK-based Vectra Group that had bought the majority stakes in Tatra Sipox, and his firms.
Sources in the agency said, “The CBI, which recently questioned three senior officials — including executive director (finance) of the BEML — will soon quiz the then chairman of the PSU in connection with the 1997 agreement signed with the Tatra Sipox-UK for supply of all terrain trucks. The agency sleuths will also question officials of the ministry of defence (MoD) in this regard”.
“The CBI is also planning to seek clarification from the Chief of Army Staff General V.K. Singh in connection with the alleged irregularities in the procurement of Tatra trucks in 2010.
Since General Singh in his written complaint to the CBI has categorically said that even if there was a backlog for procurement of trucks in the Army, there was no need for the procurement of Tatra trucks in such a large number,” sources said. The agency officials tried to contact the General in this regard on Friday, but he was not available, sources added.
The ED, which has started probing the Tatra trucks deal after registering a case under the Prevention of Money Laundering Act (PMLA) against Mr Rishi, his firms and unknown officials of the BEML, will soon question chief of the UK-based Vectra Group. The agency has asked Mr Rishi to produce documents related to the Tatra Sipox UK MoU with the BEML which was inked in 1997 including the details of their financial statements and tax returns, sources added.
“The ED has registered the case after gathering details of the probe from the CBI. The agency is probing if these defence deals and those involved in the execution of the agreements had overpriced transactions leading to generation of illegal funds which could have been subsequently laundered in other investment avenues,” sources said.

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