Anil Ambani to Rahul Gandhi: Congress misinformed on Rafale deal

Agencies
August 21, 2018

New Delhi Aug 21: Reliance Group on Monday said its chairman Anil Ambani has written to Congress president Rahul Gandhi on the Rafale fighter jet deal saying his party has been "misinformed, misdirected and misled" by "malicious vested interests and corporate rivals" on the issue.

Ambani, who had first written to Gandhi on the issue in December, last week again wrote to him saying not a single component worth a single rupee is to be manufactured by his group for the 36 Rafale jets India is buying from France, the company said in a statement .

Gandhi has been attacking the government + for inking the deal at a much higher price than the one the previous UPA regime had negotiated. While he has accused the government of changing the deal to benefit "one businessman", his party has demanded a JPC probe into the deal.

"Allegations of Reliance benefitting by thousands of crores is a figment of imagination, promoted by vested interests," the company statement said, quoting from Ambani's letter. "Simply put, no contract exists with the Government of India."

French company Dassault, which is supplying the fighter jets, has entered into a joint venture with Reliance Group to meet its offset requirement of the contract.

Under defence offset, a foreign supplier of equipment agrees to manufacture a given percent of his product (in terms of value) in the buying country. Sometimes this may take place with technology transfer.

While direct offsets are linked to the original defence contact where companies often agree to transfer relevant technological know-how or use local suppliers to build the equipment they are selling to the government, indirect offsets have nothing to do with the deal and can include the company making up investments in local industries.

In case of Rafale deal, which will give new comer Reliance Group a foothold in the defence industry, the companies have not specified what components will they manufacturer in India.

Ambani in the letter expressed "deep anguish over continued personal attacks by Rahul Gandhi on him", the statement said. He termed all allegations as "baseless, ill-informed and unfortunate"

Explaining the role of Reliance in offset exports/ work share with Dassault, he said: "The Congress has been misinformed, misdirected and misled by malicious vested interests and corporate rivals."

He said Rafale fighter jets are not being manufactured by Reliance of the Dassault Reliance joint venture. "All 36 planes are to be 100 per cent manufactured in France, and exported from France to India."

"There is no contract from the Ministry of Defence to any Reliance Group company related to 36 Rafale aircraft," the statement said.

Ambani said his group's "role is limited to offset/ export obligations. More than 100 medium, small and micro enterprises (MSMEs) will participate in this, along with public sector undertakings like BEL and Defence Research and Development Organisation (DRDO).

"This role strengthens Indian manufacturing capabilities, and is in pursuance of the Offsets Policy introduced by the Congress-led UPA government itself from 2005 onwards."

He said Reliance Group announced its decision to enter the defence manufacturing sector in December 2014-January 2015, "months before the intention for the purchase of Rafale aircraft".

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Agencies
June 14,2020

Kashmir, Jun 14: An Army personnel was killed and two others were injured as Pakistani troops opened fire and shelled areas along the Line of Control in Poonch district of Jammu and Kashmir, officials said on Sunday.

This is the third fatality in the Pakistani firing and shelling on forward posts and villages in the twin districts of Poonch and Rajouri this month.

The officials said the latest firing and shelling from across the border took place in Shahpur-Kerni sector on Saturday night, drawing strong retaliation by the Indian Army.

Three Indian Army personnel were injured in the Pakistani firing and were immediately evacuated to hospital, where one of them succumbed to injuries, the officials said.

They said the casualties suffered by the Pakistani Army in the retaliatory action were not known immediately.

On June 4, havaldar P Mathiazhagan fell to Pakistani firing in Sunderbani sector of Rajouri district, while on June 10, Naik Gurcharan Singh lost his life in a similar incident in Rajouri sector.

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News Network
February 4,2020

New Delhi, Feb 4: Senior BJP leader and Defence Minister Rajnath Singh on Monday accused Delhi's ruling Aam Aadmi Party of not implementing the central government's schemes in the national capital.

Addressing an election rally in Moti Bagh, he also sought to allay fears over the Citizenship Amendment Act (CAA), assuring the gathering that the legislation will not take away anyone's citizenship.

Singh alleged that the Chief Minister Arvind Kejriwal-led Delhi government did not do anything in the last five years.

The AAP had promised to add 5,000 buses to the fleet of the Delhi Transport Corporation (DTC), but instead the number has come down by 1,000, he claimed.

The Union minister said the AAP dispensation did not implement central schemes in Delhi fearing that the popularity of the Prime Minister Narendra Modi-led government will grow among Delhiites.

Pension schemes and the Centre's flagship health insurance scheme, Ayushman Bharat Yojana, are some of those that the Kejriwal government did not allow to be implemented in Delhi.

On the anti-CAA protests, Singh said that the opposition parties have been spreading "lies" about amended citizenship law and the National Population Register (NPR).

"The CAA will not take away anyone's citizenship. The opposition parties are spreading lies about the CAA. There should be no such politics over this. Some people are trying to write the history of the country with the ink of hatred," he said.

The culture of India is such that it considers the entire world one family, he said.

Delhi goes to polls on February 8. The results will be declared on February 11.

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News Network
April 12,2020

Hyderabad, Apr 12: Indicating that prolonged lockdown to contain coronavirus spread may lead to job cuts in the Indian IT industry, NASSCOM former president R Chandrashekhar has said that the work-from-home culture may become a positive development in the long run as it opens up newer avenues and save investments by IT firms.

The former bureaucrat also said startups which are surviving on funds infused by venture capitalists may face tougher situations if the present scenario deteriorates.

"The larger companies may not be actually cutting jobs for two reasons. One is that they do not want to lose their employees and they have money to pay. Many of them ( big companies), even if they do shed some jobs it might be at the most people who are on temporary or intern type and all. But they would not want regular and permanent employees to go. So as long as they have sufficient flexibility in their books, they would continue," said NASSCOM former president.

"But beyond a point that it goes on, for let us say, two months or three months, then even for them, they will feel the pressure. They may not just keep on providing subsidies to the employees. So the key question will be how long that goes on," Chandrasekhar said.

He also said the work-from-home systems being adopted by several firms across the globe, including India, may have a negative impact on the industry in the short-term, but in the long run it would change the work culture which hitherto was not experienced by many of the IT firms in India.

 On impact of the prolonged lockdown on startups, he said it would be a big challenge for the budding enterprises as the investments they get are based on their ideas and future revenues and the present situation under which peoples movement is curbed may shackle their progress.

 "Where will they (startups) get money to pay salaries to their employees. Venture capital investors would not pay the money or invest their money to pay salaries because they are not in the charity business."

If the employees are not paid and if they leave and it is difficult for the startup againto come up. So the whole investment plan goes for a toss, he said.

Former chairman of NASSCOM, B V R Mohan Reddy said a clear picture as to what is going to happen has not yet emerged as the situation with all respects is still evolving. Reddy said there will be a demand shrinkage for the IT industry as the entire world is under stress. "There is no economy in this world that is going to do well in this situation.

So, therefore, there will be a demand shrinkage, he said, indicating tougher times of the industry ahead.

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