Hinduja brothers chargesheeted in Bofors gun deal pay-offs case
PRESS TRUST OF INDIA

NEW DELHI, OCT 9: In an important turn to the Rs 64-crore Bofors pay-offs scandal, Europe-based three Hinduja brothers -- Srichand, Gopichand and Prakashchand -- were today chargesheeted by the Central Bureau of Investigations (CBI), which accused them of receiving 81 million Swedish Kroners from the Swedish gun manufacturer.

London-based Hinduja Group Chairman Srichand, his younger brother and group president Gopichand and Geneva-based Prakashchand were named as accused in the 11-page supplementary chargesheet filed at 2.15 pm before Special Judge Ajit Bharihoke, who fixed November 20 for passing ``appropriate'' orders on the chargesheet.

Today's chargesheet comes a year after the first one was filed before the same judge in the 13-year old case naming Italian businessman Ottavio Quattrocchi, former Bofors agent Win Chadha, former Defence Secretary S K Bhatnagar, former Bofors Chief Martin Ardbo and the Bofors company.

Former prime minister Rajiv Gandhi's name had also figured in the first chargesheet as ``accused not sent for trial''.

The CBI, which went ahead with the supplementary chargesheet only days after the Hindujas had publicly stated that the money paid to them by the Bofors Company had nothing to do with the Rs 1,437-crore gun deal signed in 1986, said it might seek their extradition.

``The CBI might seek their extradition at an appropriate time with the permission of the court,'' CBI's special public prosecutor N Natrajan said about the three brothers, two of whom are British nationals.

The three Hinduja brothers were chargesheeted under section 120-B (Criminal Conspiracy) and 420 (cheating) of Indian Penal Code and under sections 5 (2) and 5 (1) (D) Of Prevention of Corruption Act.

The chargesheet, filed by the CBI today, is supported by the statements of eight witnesses.

The CBI alleged that Hindujas received a sum of 81 million Swedish Kroners (about $2.4 million) after Indian Government paid 21 per cent of the total contract amount to A B Bofors in May 1986.

The agency said that Hindujas had deposited the amount in three Swiss Banks - Swiss Bank Corporation, Credit Swisse Bank and Hanover Manufacturer's Trust.

CBI had alleged that Bofors paid kickbacks to various persons, including Hindujas, Quattrocchi and Chadha, for securing the contract for supply of 400 Bofors 155-mm Howitzer guns to India in 1986.

The agency alleged that this was in breach of the conditions put by the Indian Government that there would be no middlemen or payment of commissions in the deal.

Hindujas on September 28 had said in London that they had given statements under oath to the Swiss investigating judge that the funds received by them from Bofors company had no relation to the gun deal with India, in support of their contention of non-involvement in the case.

On November 20, the judge is likely to take cognisance of the supplementary chargesheet and might issue summons to the Hinduja brothers.

Thereafter, if the three appear before the Court, it would hear arguments on the charges and then the Court, depending on the evidence, would frame charges and the process of trial would begin.

However, the court is yet to hear arguments on charges against the accused mentioned in the first chargesheet filed in October, last year.

CBI said the money was deposited in three coded accounts, Lotus, Mont Blank and Tulip, held by McIntyre Corporation of Hindujas.

The agency did not rule out filing of a third chargesheet as the ultimate beneficiaries were yet to be traced.

CBI counsel Natrajan told reporters investigation about the role of Quattrocchi's wife Maria and Win Chadha's son Harsh Chadha was still going on.

The chargesheet alleged that 31.988 million Kroners was deposited in Swiss Bank Corporation under the code name of Lotus, 37.03 million Kroners in Hanover Manufacturers Trust under Tulip and 11.7 million Kroners in Credit Swisse Bank under the code name of Mont Blank.

Asked if the money deposited in these accounts was further transferred to some other banks, Natrajan said CBI has got documents only regarding the deposits in the Swiss accounts and ``we cannot say whether it was further transferred or not''.

Regarding Hindujas' statement that the money deposited in the Swiss accounts was not connected with Bofors transaction, Natrajan said ``Let the accused come to the court and prove their innocence.''

Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.