Defence firms under scanner for their alleged links with Bhandari

Sources said Bhandari’s call data records and documents seized from his premises during a recent IT search have allegedly shown 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 securing contracts for the defence firms. While the companies claimed that they were in 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.

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.

“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.

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