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| title | chunk | source | category | tags | date_saved | instance |
|---|---|---|---|---|---|---|
| Bofors scandal | 2/3 | https://en.wikipedia.org/wiki/Bofors_scandal | reference | science, encyclopedia | 2026-05-05T14:10:59.444926+00:00 | kb-cron |
== Chronology of events and investigation == 1977 - As a response to reports that Pakistan wants to acquire brand new American long-range 155-mm M198 howitzers (which was withheld due to US political concerns), India requested Bofors and six other manufacturers to suggest their towed howitzers. Early 1981 - four howitzers were shortlisted to participate in the field trials: FH-77B, FH-70, GHN-45 and GIAT-155 TR. 1985 - FH-70 and GHN-45 were eliminated from the trials. 24 March 1986 - A $285 million contract between the Government of India and Swedish arms company Bofors was signed for supply of 410 155 mm Howitzer field guns. 16 April 1987 - Swedish Radio alleged that Bofors paid kickbacks to people from a number of countries including top Swedish and Indian politicians and key defence officials to seal the deal. 1987 - As a result of the revelations, the Indian government blacklisted Bofors, preventing the company from doing business in India. The middleman associated with the scandal was Ottavio Quattrocchi, an Italian businessman who represented the petrochemicals firm Snamprogetti. Quattrocchi was reportedly close to the family of Rajiv Gandhi and emerged as a powerful broker in the 1980s between big businesses and the Indian government. 21 May 1991 - While the case was being investigated, Rajiv Gandhi was assassinated for unrelated reasons by the LTTE. 1997 - The Swiss banks released some 500 documents after years of legal battle. 1999 - The Indian government lifted its ban on Bofors. The lifting of the ban came during the Kargil War, when the Bofors guns proved to be efficient but were crippled by a shortage of spare parts. 22 October 1999 - When National Democratic Alliance government led by the Bharatiya Janata Party was in power, the Central Bureau of Investigation (CBI) filed the first chargesheet against Quattrocchi, Win Chadha, Rajiv Gandhi, the defence secretary S. K. Bhatnagar and a number of others. 2001 - Win Chadha and S. K. Bhatnagar died. 10 June 2002 - Delhi High Court quashed all proceedings in the case so far. However, this was reversed by Supreme Court of India on 7 July 2003. 2004 - The central government changed and Indian National Congress came to power after 2004 Lok Sabha elections. On 5 February 2004, the Delhi High Court quashed the charges of bribery against Rajiv Gandhi and others. 31 May 2005 - The Delhi High Court dismissed the allegations against the British business brothers, Srichand, Gopichand and Prakash Hinduja, but charges against others remained. December 2005 - B. Daat, the Additional Solicitor General of India, acting on behalf of the Indian Government and the CBI, requested the British Government that two British bank accounts of Quattrocchi be unfrozen on the grounds of insufficient evidence to link these accounts to the Bofors payoff. The two accounts, containing €3 million and $1 million, had been frozen. On 16 January, the Indian Supreme Court directed the Indian government to ensure that Quattrocchi did not withdraw money from the two bank accounts in London. The CBI, the Indian federal law enforcement agency, on 23 January 2006 admitted that roughly ₹210 million, about US$4.6 million, in the two accounts have already been withdrawn by the accused. The British government released the funds later. 16 January 2006 - CBI claimed in an affidavit filed before the Supreme Court that they were still pursuing extradition orders for Quattrocchi. The Interpol, at the request of the CBI, has a long-standing red corner notice to arrest Quattrocchi. 6 February 2007 - Quattrocchi was detained in Argentina on 6 February 2007, but the news of his detention was released by the CBI only on 23 February. Quattrocchi was released by Argentinian police. However, his passport was impounded and he was not allowed to leave the country. As there was no extradition treaty between India and Argentina, the case was presented in the Argentine Supreme Court. The government of India lost the extradition case as the government of India did not provide a key court order which was the basis of Quattrocchi's arrest. In the aftermath, the government did not appeal this decision because of delays in securing an official English translation of the court's decision. 4 March 2011 - A Delhi court provided temporary relief to Quattrocchi from the case, for lack of sufficient evidence against him. 12 July 2013 - Quattrochi died of heart attack in Milan. Despite the controversy, the Bofors gun was used extensively as the primary field artillery during the Kargil War with Pakistan and gave India 'an edge' against Pakistan according to battlefield commanders. In his book, Unknown Facets of Rajiv Gandhi, Jyoti Basu and Indrajit Gupta, released in November 2013, former CBI director A P Mukherjee wrote that Rajiv Gandhi wanted commission paid by defence suppliers to be used exclusively for the purpose of meeting expenses of running the Congress party. Mukherjee said Gandhi explained his position in a meeting on 19 June 1989, during a meeting between the two at the Prime Minister's residence. However, as per Sten Lindstrom, the former head of Swedish police, who led the investigations, they did not find anything to suggest that payments had been received by Rajiv Gandhi. He was, however, guilty of knowing about the kickbacks and not taking action on them.
== Political effects == The Bofors scandal was a major issue that was highlighted in subsequent elections, which led to the Congress losing power. Though it was widely believed that V. P. Singh resigned from Rajiv Gandhi's cabinet due to the Bofors scandal, Singh clarified that he had resigned due to differences in the cabinet in commissions taken by Indian agents in the HDW submarine deal (Shishumar class).