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'No middleman to be allowed in defence contracts'

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Agencies

Posted: Feb 16, 2008 at 1517 hrs IST

New Delhi, February 16: India said no middleman would be allowed in defence contracts and companies could face action if complaints of kickbacks were found true.

"Whenever we receive any complaint of kickbacks, we take action," Defence Minister A K Antony said.

He, however, ruled out cancellation of 1.2 billion dollar deal with Israel for acquisition of three Falcon Air Control and Early Warning Control System (AWACS) with Israel.

The Minister's comments came after he inaugurated the fifth Indian Defence Expo in New Delhi in which 479 companies from 30 countries are participating.

Asked about Israeli media reports that India had nearly paid three times more for AWACS than the price quoted by China and that commissions were paid in the deal, Antony said, "the Defence Ministry has received no such complaints."

Companies like Boeing, Lockheed Martin and Raytheon from the US and Thales, Gican, DCNS from France are participating in the Expo.

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