Defence firms under scanner for links with Sanjay Bhandari

NEW DELHI: Some leading foreign defence firms, who are major players in the Indian market, have come under the scanner of investigating agencies for their alleged links with defence consultant Sanjay Bhandari who is being probe for alleged tax evasion.

Sources said Bhandari's call data records and documents seized from his premises during a recent IT search have allegedly showed that a number of officials from different foreign defence firms were in touch with him on a regular basis.

He is said to have played a role in bagging contracts by the defence firms.

While the companies claimed that they were touch with him and many Indian firms for offset obligations, investigating agencies believe there is more to it. Bhandari runs a company involved in carrying out offsets.

During the searches carried out by the Income Tax department, papers of the Defence Ministry, including those related to a much-delayed proposal to buy mid-air refuellers, were allegedly found in his possession.

Airbus, a contender for the contract, did not respond to emails sent by PTI asking if it was in touch with Bhandari.

Investigators are now looking into how and why he got the documents.

Another company under the scanner is French defence major Thales whose senior employees were in touch with Bhandari, the sources said, as per his call data records.

"We understand from media reports that there is an ongoing investigation. We do not comment on the same," Thales said in a statement to PTI.

"Bhandari is a key man linked to the world of defence deals. The current focus is to unravel his network," one of the sources said, adding that some other companies too are being looked into.

The Income Tax department had a few days ago carried out searches in half-a-dozen cities in connection with its probe into the alleged financial irregularities and suspected tax evasion in the DIAL-AAI deal relating to the Indira Gandhi International Airport (IGIA) here.

Premises of corporate consultant Deepak Talwar were also searched by the department. Talwar's name has also come up during investigation into the Bhandari case.

Officials remained tight-lipped about what else has come out in the raid on Bhandari and the exact involvement of defence firms.

"It is a sensitive case and nothing more can be revealed as of now since a detailed probe into many aspects by various agencies is currently on," another source said.