With INS Sahyadri – India’s modern stealth frigate – participation in the just concluded International Fleet Review (IFR) in Sydney, there has been some enthusiastic discussion in India’s strategy circles on the state of the India-Australia maritime relationship, recently witnessing a major revival.
The Royal Australian Navy’s fleet review (04 – 10 October) is a useful start point to look at the growing maritime convergence between India and Australia. For a start, the IFR is a high profile affair and the centrepiece of the Royal Australian Navy’s centenary celebrations this year. With a participation of more than 40 naval ships, 16 tall ships, 60 aircraft and 8000 sailors from 19 countries, it can justifiably be called as the ‘defining’ maritime event in Australia’s 2013 maritime calendar.
The Sahyadri’s presence in the IFR is significant, as it came about following a special invitation extended by the Australian Defence Minister, Stephen Smith, during the visit of his Indian counterpart, A K Antony, to Australia in June this year. For the Indian navy, the Australian invitation is a particular privilege as not many Indian Ocean navies have been invited for the IFR.
While it is indeed ‘routine’ for a naval ship to be a part of a ‘naval fleet review’, the Sahyadri’s participation is still being seen as diplomatically consequential, as it is the first concrete deliverable on a series of working principles agreed upon during the Defence Ministers’Dialogue. These include organising regular bilateral defence ministers’ meetings, exchanges between the defence establishments, and effective diplomatic and maritime collaboration – both in the Indian Ocean Region (through the Indian Ocean Naval Symposium (IONS) and the IOR-ARC) and the Asia-Pacific region (via the East Asia Summit, ASEAN Regional Forum and ASEAN Defence Ministers’ Meeting-Plus).
Predictably, maritime security topped the bilateral agenda, with both countries giving serious consideration to proposals for an expanded and more substantive naval collaboration. Despite some sceptics declaring the agreements to be more in the nature of ‘empty rhetoric’ than ‘hard substance’, the comprehensive nature of the proposals seemed to suggest otherwise. Indeed, on closer look it is evident that both India and Australia are trying hard to shed their traditional reticence and engage in the maritime domain, with both sides agreeing to a drastic overhaul of the existing exchanges.
The plan for enhanced interaction though rudimentary, is conspicuous by its intent to encompass the gamut of security engagement. This includes the conduct of the defence policy dialogues, armed forces staff talks, professional military exchanges, and even – for the first time – bilateral naval exchanges to build confidence and familiarity between the navies.
Interestingly, the plan gives a timeline for operational cooperation in the maritime domain. Both sides, the plan mandates, will work towards a bilateral maritime exercise in 2015. Viewed in the context of the fact that the last time the two navies had a structured operational engagement was during exercise-Malabar’ in 2007, the proposal for expanded maritime cooperation appears even more substantial. Some of the modalities of the forthcoming exchanges at sea were discussed during the visit of the Australian Naval chief-of-Staff, Vice Admiral Vice Admiral Ray Griggs in June to New Delhi, where he had wide ranging talks with his Indian counterpart Admiral D K Joshi.
Now, it isn’t as if the Indian navy and RAN have not had any operational contact recently. Both navies have been working together in anti-piracy operations in the Gulf of Aden. Each could however do with some added momentum to cooperative measures and a greater synergy in their operational interaction – precisely the things that the two navy chief’s may have discussed during their meeting. It is entirely possible that the 2015 exercises will see a level of cooperation that goes beyond basic ‘search and rescue’ and ‘disaster relief and humanitarian assistance’ drills.
To be sure, the impetus for maritime cooperation, at the moment, seems to be coming more from Australia. The extent to which Canberra regards cooperation with New Delhi as being critical for regional maritime security can be made out from its 2013 Defence White Paper which clearly prioritises relations with two growing powers in the Indo-Pacific Region – India and Indonesia. The direction of Australia’s developing security strategy was further confirmed by the back-to-back release of the Country Strategy Documents on Indonesia and India in August this year. Not surprisingly, as he released the India Country Strategy document, Prime Minister, Kevin Rudd observed that Australia’s relationship with India had “perhaps the greatest potential to grow out of all of Australia’s significant bilateral relationships in Asia.”
For its part, India has been alive to the need to revitalise its strategic relationship with Australia and Indonesia. This has been amply demonstrated, not only by New Delhi’s recent bilateral exchanges with Canberra, but also by Prime Minister Manmohan Singh’s planned visit to Indonesia after the East Asia Summit in Brunei later this week. There is, however, still a sense that India is understating its eagerness for bilateral security cooperation, choosing to proceed at a measured pace.
A key reason why India’s renewed security and maritime engagement with Australia is of greater relevance than official sources would care to admit, is that the strategic outreach comes at a time when the concept of the ‘Indo-Pacific’ has been gaining traction. This new geo-strategic construct – officially accepted and legitimised by the Australia’s 2013 Defence White Paper – integrates the Indian Ocean and Western Pacific Ocean into one unified theatre, and is premised on the idea of stronger security cooperation between growing powers in the composite region. India realises that for the success of its ‘Look-East’ Policy – of which security of trade and energy flows is a critical part – it will eventually need to embrace the concept, even if in a qualified sense.
The imperative for India to cooperate with Australia is also driven by the fact that the latter is due to take charge next year of both the Indian Ocean Naval Symposium (IONS) and the IOR-ARC – two regional institutions New Delhi has a significant stake in. The Indian navy has been the motivating force behind the IONS initiative and is quite keen to see the grouping enhance its stature and utility. India has also, for the past few years, been the prime mover of the IOR-ARC agenda. For the success of both institutions, it needs to engage with like-minded nations. Australia, presently, seems to top the list of potential partners.
Following the election in Australia last month, there were apprehensions expressed in some quarters that the new conservative government led by Tony Abbot may do a rethink on Australia’s strategic priorities as expressed in its new defence White Paper. This included closer defence cooperation with India and Indonesia. But Defence Minister AK Antony’s meeting with Julie Bishop and Senator David Johnston – Shadow Ministers for Foreign Affairs and Defence – during his June visit, calmed Indian concerns, providing much needed reassurance that defence and maritime co-operation will continue, regardless of the party in power in Canberra.
Source : http://www.eurasiareview.com/15102013-india-australia-maritime-cooperation-raising-pitch-analysis/
Indian Defense News
Indian Defense News
Wednesday, October 16, 2013
INS Sunayna, largest naval offshore patrol vessel, commissioned
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| INS Sunayna |
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| INS Sunayna |
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| INS Sunayna |
The Indian Navy inducted into service its largest offshore patrol vessel (OPV), INS Sunayna, at the Southern Naval Command here on Tuesday.
Vice-Admiral Satish Soni, Flag Officer Commanding-in-Chief of the command who commissioned the 105-metre long ship, designed and built by the public sector Goa Shipyard, told the media that the OPV added to the command’s teeth and that it would soon be deployed for anti-piracy operations in the Gulf of Aden.
Commending Goa Shipyard for delivering a state-of-the-art vessel — which displaces 2,200 tonnes and is fitted with the most advanced communication, navigation and electronic warfare equipment besides a 76-mm SRGM (Super Rapid Gun Mount), and close-in weapon system (CIWS) — the Vice-Admiral said with an endurance of 6,000 nautical miles, the vessel was ideal to carry out a range of maritime security operations including anti-piracy patrol, anti-poaching campaigns and monitoring of the vital sea lines of communication along the Indian Ocean. It was to the yard’s credit that the vessel was delivered with zero work pending, he said.
The mandate of the Navy was to secure national interest in the Indian Ocean Region, a vital theatre of strategic importance, and INS Sunayna would strengthen the force’s capability to attain this, he said, adding the vessel would see extensive deployment around the Lakshadweep archipelago as well.
Commander Aftab Ahmed Khan will be the commissioning commanding officer of INS Sunayna, which will have a complement of eight officers and 105 sailors.
The NOPV — the second in the class after INS Saryu was added to the naval inventory in the Andaman and Nicobar Islands earlier this year — is expected to bridge the crucial gap in the Southern Naval Command’s long-endurance patrol capability in the wake of the conversion of OPV INS Sujata into a cadet training vessel over a year ago. The vessel can embark an advanced light helicopter (ALH) or a Chetak search and rescue helicopter.
Two more vessels of the class, under construction at Goa Shipyard, would be delivered to the Navy between this year-end and mid-2014, said Commodore (Retd) Prabhat Shrivastava, Director (Corporate Planning, Projects and Business Development) of Goa Shipyard.
General
Basic functions Surveillance and accomplishing surface warfare operations in order to prevent infiltration and transgress maritime sovereignty.
Hull Material Steel
Classification
» Dual classification ABS & IRS
» A1 E HSC NAVAL CRAFT
» AMS
Electrical Equipment
Networks 415V, 3 Phase, 50 Hz / 240VAC/ 24VDC
Generators 2 x 500 KW, 2 x 350, 415V, 3 phase, 50 Hz
Emergency Gen. 1 x 80 KVA
Dimensions
Length Overall 105.00 M
Breadth 12.90 M
Depth MLD 6.00 M
Draught mean 3.60 M
Draught (Propeller) 4.90 M
Displacement abt. 2215 Tons
Deck Machinery
Anchor equipment 2 x 1440 Kgs. H.H.P Anchor with chain as per class requirement
Crane 2 nos. electro-hydraulic Crane for handling 6.5 mtrs RIB
Capstan 2 nos. Anchor capstan
1 no. Mooring capstan
Capacities
Accommodation 16 Officers & 102 Sailors
Fuel Oil 300 Tons
Fresh Water 60 Tons
Lub. Oil 10 Tons
AVCAT 30 Tons
Aviation
» Landing facility for ALH » Helo traversing gear
» Hangar for ALH » Helo landing grid
Armament
Provision for fitment of :
» 1 x 76 mm Ottomelara gun with FCS » 2 x 30 mm CWS
Auxiliary Systems
» Oily Bilge Water Separator » Fresh Water Generating System, RO type (2 x 30 TPD)
» Sewage & Vacuum Toilet System » Active Fin Stabilizer
Nautical, Surveillance and Communication equipment
» Radar with ARPA » Auto Pilot » Electronic Chart Display & Information system
» Magnetic Compass » DGPS » Speed log
» Gyro Compass » Echosounder » Communiation according to GMDSS A3
Performance
Speed (at trial displ) 25 knots
Range 6000 NM at 16 knots
Endurance Normal - 20 days
Extended - 60 days
Propulsion System
Main Engine 2 x 7790 KW
Gear Box Reduction Gear Box
Propulsion 2 x Controllable Pitch Propeller
Source : http://www.thehindu.com/news/national/kerala/ins-sunayna-largest-naval-offshore-patrol-vessel-commissioned/article5236427.ece
Indian troops capture two infiltrators in Jammu and Kashmir
Srinagar: Indian Army troops overpowered and captured two infiltrating Pakistani militants on the Line of Control (LoC) in Jammu and Kashmir's Kupwara district, an official statement said today.
According to a defence statement, the two men were infiltrating into Indian territory in the Tangdhar sector on the evening of Oct 12 when they were captured.
The statement said that based on specific intelligence inputs, the army had established cordon and surveillance points near the LOC.
"The terrorists were challenged and overpowered by the troops. One pistol, two magazines, ammunition and identity cards issued by Pakistan-occupied Kashmir were among the various items recovered from the terrorists," the statement said.
The terrorists were later handed over to local police.
Source : http://www.ndtv.com/article/india/indian-troops-capture-two-infiltrators-in-jammu-and-kashmir-432326
According to a defence statement, the two men were infiltrating into Indian territory in the Tangdhar sector on the evening of Oct 12 when they were captured.
The statement said that based on specific intelligence inputs, the army had established cordon and surveillance points near the LOC.
"The terrorists were challenged and overpowered by the troops. One pistol, two magazines, ammunition and identity cards issued by Pakistan-occupied Kashmir were among the various items recovered from the terrorists," the statement said.
The terrorists were later handed over to local police.
Source : http://www.ndtv.com/article/india/indian-troops-capture-two-infiltrators-in-jammu-and-kashmir-432326
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China to boost imports from India
India can expect some pruning of the massive trade deficit it has run up with China as the world's largest exporter is looking to boost its imports, in part to help stimulate economies around the world, said Jia Guoyong, Vice-Director General of China's Trade Development Bureau, told reporter in an interview recently.
"China is taking new policy measures to facilitate the importing process. It will further eliminate non-tariff measures, simplify import management measures and shorten import procedures," said Jia Guoyong.
Jia was in India last week leading a 50-strong business delegation, members of which signed 15 memoranda of understanding (MoUs) with various Indian companies for imports worth USD 330 million to China. The delegation's visit was an outcome of Chinese Prime Minister Li Keqiang's trip to India earlier this year.
In view of the global economic slowdown, China, Jia said, had been trying to increase its imports, which help the countries.
"While exports create wealth directly, imports generate long-term interest and give impetus to industrialization and are just as important as exports," Jia said.
China's foreign trade policy has in recent years been moving away from its overwhelming accent on exports towards a balance, by upgrading the mechanism for promoting and adjusting imports.
"By importing more consumer products, for instance, to satisfy the domestic market, China will not only hasten economic recovery but also improve trade imbalances and reduce trade frictions," Jia said.
India's trade deficit with China in the last fiscal was around USD 39 billion that Indian officials describe as "unsustainable" in the long run. India's exports to China in 2012-13 were worth USD 13.53 billion, while imports stood at USD 52.24 billion.
An important import promotion measure consists of continually encouraging Chinese business delegations to explore overseas markets for procurement, like the delegation that Jia has led to India.
A majority of Chinese exporters import raw materials and semi-manufactured goods, and then produce these for overseas markets."A priority for us is optimising the import structure by stabilising and guiding the import of bulk commodities, increasing imports of hi-tech equipment as well as of consumer goods," said Jia.
China's imports are of three major kinds. Fifty percent are mechanical and electrical products, 30 percent are high technology items and about 20 percent are bulk commodities.
Jia said while China has a long-term strategy to enhance trade with India, the new import promotion policies were directed at improving the situation with its various trading partners.
"We can now import more consumer products to satisfy the domestic market. It is not that we did not require to import earlier, but now we have more means and money to import that were lacking earlier," Jia said.
Figures from financial service firm Morgan Stanley in September showed Chinese demand for commodities is surging again, confirming the improved recent economic data from China and that the country was stepping up investment in infrastructure.
This will be good news for markets supplying commodities to China."China will facilitate market access, increase its import capabilities, promote balanced trade and will contribute to the promotion of China-India bilateral trade," added Jia, signing off.
Source : http://www.smetimes.in/smetimes/face-to-face/2013/Oct/15/china-to-boost-imports-from-india-vice-dg-china.html#sthash.WEfBZ9Zj.dpuf
"China is taking new policy measures to facilitate the importing process. It will further eliminate non-tariff measures, simplify import management measures and shorten import procedures," said Jia Guoyong.
Jia was in India last week leading a 50-strong business delegation, members of which signed 15 memoranda of understanding (MoUs) with various Indian companies for imports worth USD 330 million to China. The delegation's visit was an outcome of Chinese Prime Minister Li Keqiang's trip to India earlier this year.
In view of the global economic slowdown, China, Jia said, had been trying to increase its imports, which help the countries.
"While exports create wealth directly, imports generate long-term interest and give impetus to industrialization and are just as important as exports," Jia said.
China's foreign trade policy has in recent years been moving away from its overwhelming accent on exports towards a balance, by upgrading the mechanism for promoting and adjusting imports.
"By importing more consumer products, for instance, to satisfy the domestic market, China will not only hasten economic recovery but also improve trade imbalances and reduce trade frictions," Jia said.
India's trade deficit with China in the last fiscal was around USD 39 billion that Indian officials describe as "unsustainable" in the long run. India's exports to China in 2012-13 were worth USD 13.53 billion, while imports stood at USD 52.24 billion.
An important import promotion measure consists of continually encouraging Chinese business delegations to explore overseas markets for procurement, like the delegation that Jia has led to India.
A majority of Chinese exporters import raw materials and semi-manufactured goods, and then produce these for overseas markets."A priority for us is optimising the import structure by stabilising and guiding the import of bulk commodities, increasing imports of hi-tech equipment as well as of consumer goods," said Jia.
China's imports are of three major kinds. Fifty percent are mechanical and electrical products, 30 percent are high technology items and about 20 percent are bulk commodities.
Jia said while China has a long-term strategy to enhance trade with India, the new import promotion policies were directed at improving the situation with its various trading partners.
"We can now import more consumer products to satisfy the domestic market. It is not that we did not require to import earlier, but now we have more means and money to import that were lacking earlier," Jia said.
Figures from financial service firm Morgan Stanley in September showed Chinese demand for commodities is surging again, confirming the improved recent economic data from China and that the country was stepping up investment in infrastructure.
This will be good news for markets supplying commodities to China."China will facilitate market access, increase its import capabilities, promote balanced trade and will contribute to the promotion of China-India bilateral trade," added Jia, signing off.
Source : http://www.smetimes.in/smetimes/face-to-face/2013/Oct/15/china-to-boost-imports-from-india-vice-dg-china.html#sthash.WEfBZ9Zj.dpuf
PLA Navy would lose 40% of its fleet to sink a US carrier : Report..!
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| USS Gerald R Ford |
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| Type 54A |
China currently possesses several effective weapons systems that could be used against a US carrier battle group, including its DF-21D anti-ship ballistic missiles and 12 guided-missile destroyers. The country's two Type 051C and six Type 052C destroyers are all equipped with anti-ship missiles such as the YJ-83, C-805 and YJ-62, and they would also pose a serious threat against US carriers within the Asia-Pacific region. In addition, China has purchased four Sovremenny-class destroyers equipped with Moskit SSM P-270 anti-ship missiles from Russia, the report said.
Aside from the Liaoning, the country's first aircraft carrier, the PLA Navy currently has 15 Type 054A frigates carrying HQ-16 surface-to-air missile within its vertical launching system. With the capability to defend the Chinese fleet against the US carrier-based aircrafts, Type 054A is able to sink enemy vessel with its C-803 anti-ship missile as well.
If a US carrier battle group were to enter the waters of the Chinese coast, the PLA Navy could also deploy its 10 Type 056 corvettes and 40 Type 022 missile boats to fight in guerrilla warfare at sea against the US Navy, the report said. Both vessels able to launch anti-ship missiles such as YJ-83 and C-803 and the United States Navy would loses 10% of its strength in the region if one of its carriers were to be sunk.
However, the PLA Navy would not be able to sink a US aircraft carrier easily. According to the Forbes magazine, several countermethods have been developed by the US Navy to defend its aircraft carriers from Chinese attacks. While long-range unmanned aerial vehicles are able to destroy Chinese missile facilities, F-35 fighters with a combat range of 200 and 300 nautical miles enables the US ships to fight without entering the Chinese coastline.
The Military-Industrial Courier estimated that between 30%-40% of China's total naval strength would be lost to simply destroy one US carrier. Meanwhile, the biggest weakness for the US Navy in a potential conflict with the PLA Navy would be how to deploy its 11 carriers, 88 surface combat vessels, 55 Littoral Combat Ships and 31 amphibious assault ships to the Western Pacific in a short period of time, the report said.
Source : http://www.wantchinatimes.com/news-subclass-cnt.aspx?id=20131014000037&cid=1101
Indian Army to buy latest snow mobiles for Ladakh sector..!
Army’s Northern Command has issued a global tender for procuring latest snow mobiles which will ensure better mobility for jawans and intensified patrolling in the snow-bound areas of Ladakh region of Jammu and Kashmir.
General Officer Commanding-in-Chief (GoC-in-C) Northern Command recently issued a Request for Proposal (RFP) tender for procurement of 20 snow mobiles for the Army units deployed in Northern Command theatre in J&K.
The bids are invited from Original Equipment Manufacturer (OEM) of Defence Procurement Manual 2009 or Permanent Registered Authorised Distributors of OEM, a senior officer of Engineers’ Branch at Northern Command Headquarter, said.
Snow mobiles are used as modes of transportation for men and material in glaciated and snow-bound areas (Siachen-Kargil heights of Ladakh region) of Jammu and Kashmir, he said.
The latest all-featured snow mobiles are being purchased for their use in border patrolling and for mobility of troops along the Indo-Pak border in Siachen-Kargil sector of Ladakh Region, he said.
The specification of the snow mobiles have been put as 4 stroke, 973 cc petrol engine with power backup and 4 ventilated disc brakes.
Army had procured 20 snow mobiles in 2008 after 30 snow mobiles, which were inducted into Kargil-Siachen sector soon after Kargil war to give better mobility to the troops patrolling the Indo-Pak border, had almost completed their effective utility period.
Army said that snow mobiles should have operational characteristics including snow & high altitude terrain operations, with operationalibility of minimum 4500 metres altitude in operating temperature of Plus 10 degree Celsius to Minus 40 degree Celsius.
Source : http://idrw.org/?p=28051
Indo-S. Korean Defense Ties Deepen with Minesweeper $1.2 billion Purchase
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| The Pondicherry-class minesweeper Kozhikode was built for the Indian Navy by Russia. India plans to buy eight mine countermeasures vessels from South Korea to replace its aging ships. (Indian Navy) |
The deal has been cleared ahead of Indian Defence Minister A.K. Antony’s planned visit to Seoul later this year, and will help boost defense ties with South Korea, an Indian MoD official said.
The finalization of the contract was delayed after Italy’s Intermarine, which was competing for the contract, approached India’s anti-fraud agency, the Central Vigilance Commission (CVC), with issues related to the transparency of the procurement. The CVC cleared the purchase last year, but the MoD has since dragged its feet in deciding to award the contract, the source said.
India is reaching out to friendly nations in the region, including Japan and South Korea, as part of its Look East policy in a bid to contain the rising influence of China, said defense analyst Mahindra Singh.
The Indian Navy is likely to give additional orders to the South Korean company for the countermine ships, since the service has a requirement for more than 24 minesweepers, an MoD source said. The Indian Navy operates 12 aging Pondicherry and Karwar-class minesweepers.
The purchase of the new countermine ships is part of a long-term plan to acquire vessels for littoral warfare, including large landing platform decks, fast attack craft and advanced offshore patrol vessels.
In 2008, India sent bids for the countermine ships to Kangnam, Intermarine, Northrop Grumman, Izhar of Spain and DCN International of France.
The Navy has wanted new minesweepers for more than 13 years, but delays in procurement due to bureaucratic red tape have been holding back the order.
According to the deal, the first two minesweepers will be constructed at Pusan, South Korea, and the remaining six will be built at the Goa Shipyard through technology transfers.
South Korea has become a big-ticket supplier of weapons to India — along with Russia, Israel, the United States and France — and is aggressively tapping India’s $100 billion weapons market.
Samsung has jointly developed a howitzer gun with Indian private-sector company Larsen & Toubro, and it is likely to put up a tough fight against Russia’s Rosoboronoexport in the quest to supply 155mm/52-caliber tracked guns.
The Larsen & Toubro-Samsung team is competing with Rosoboronexport, and with state-owned Bharat Earth Movers Ltd. (BEML), which has partnered with Slovakian company Konstrukha.
The Indian Army wants to buy 100 tracked guns valued at more than $750 million. The tender, issued in 2011, was a rebid of a 2007 tender, which went to India’s Tata Power SED, Larsen & Toubro, BEML and Rosoboronexport.
South Korean firm Doosan has also been given a tender this year for the purchase of 104 self-propelled gun missile systems to replace aging Russian Kvadrat systems.
Indo-South Korean defense ties began in 2005, when the two countries signed a memorandum of understanding on defense logistics and supplies.
In 2007, the defense ministers of the two countries met to hash out a defense cooperation plan, which was followed in 2010 by the signing of a declaration of strategic partnership.
Source : http://www.defensenews.com/article/20131015/DEFREG03/310150015/Indo-S-Korean-Defense-Ties-Deepen-Minesweeper-Purchase
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India to cancel Rs 3600 crore-chopper deal with Augusta..!
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| AgustaWestland VVIP Chopper |
Armed with fresh details on the alleged kickbacks, India has initiated steps to cancel the Rs 3,600 crore-chopper deal with Anglo-Italian firm AgustaWestland by issuing a show cause notice to it in this regard.
The latest initiative by the defence ministry comes soon after the attorney general gave his opinion that there was breach of contractual obligations and the integrity pact by the firm, sources said in New Delhi.
The defence ministry has issued a showcause notice to the firm for cancellation of the deal and given it four weeks time to respond to it, they said.
The ministry has also gathered important details during the ongoing investigations in the deal in both India and Italy since February.
The government has already frozen the contract for supply of 12 AW-101 VVIP choppers to the Indian Air Force after allegations that Rs 360 crore were paid as bribe in which two top officials of the company were accused. The IAF has already received three helicopters and delivery of the rest has been put on hold.
Last week, the company said it has invoked arbitration proceedings against the defence ministry for "unilaterally" freezing the deal. The law ministry has also told the defence ministry that the arbitration proceedings initiated by AgustaWestland are also not binding on it.
The sources claimed that the government had been preparing to issue the notice for cancellation much before AgustaWestland took the step.
The defence ministry had earlier issued a show cause notice to AgustaWestland on February 15 asking it to explain within seven days the bribery allegations against it after the alleged scam was exposed in Italy.
In the notice, the company was asked why the Rs 3,600 crore deal of 2010 should not be scrapped. In its reply, AgustaWestland had denied the allegations.
Former IAF chief S P Tyagi is among those under cloud in connection with the kickback charges. The CAG also recently highlighted loopholes in the deal.
Soon after the arrest of the firm's former CEO, Guiseppe Orsi, in Italy in connection with the case, Defence Minister A K Antony had suspended the payments to be made to it along with the delivery it was due to make to IAF of the remaining nine choppers.
Source: http://www.defencenews.in/defence-news-internal.asp?get=new&id=2126
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