Author: Sumon K Chakrabarti
Publication: CNN-IBN
Date: January 3, 2011
URL: http://ibnlive.in.com/news/quattrocchi-bribed-in-bofors-deal-it-panel/139272-3.html
The Income Tax Appellate Tribunal has nailed
Italian businessman Ottavio Quattrocchi in Bofors scam. The tribunal says
kickbacks were paid to Quattrocchi and Win Chadha in the nearly Rs 1,500 crore
worth Bofors deal.
It notes that 242.62 million Swedish kroners were paid to Quattrocchi and
Chadha in kickbacks. The bribes were paid into accounts of M/s Colbar Investments
Limited Inc and M/s Wetelsen Overseas, controlled by Quattrocchi and his wife
Maria Quattrocchi.
The kickback was paid by M/s AB Bofors as
commission to Quattrocchi and Chadha through M/s AE Services and M/s Svenska.
The tribunal says Quattrocchi is liable to
pay income tax in India for the bribes he received as he was staying in India
then. Even the money received by Chaddha as kickback is taxable, the tribunal
said.
The kickbacks also violated rules as middlemen
are illegal in defence deals in India.
Due to the kickback paid to the duo, India
had to pay an excess amount of 242.62 million Swedish kroners for the guns.
Despite having full knowledge about the India
policy that there should not be any agent in the deal, Bofors continued with
its old agent. The company acted in violation of the Indian defence policies
and rules and harmed the public exchequer, besides committing breach of propriety.
Despite Indian government's insistence not
to appoint or pay any agent, Bofors entered into a fresh consultancy agreement
with M/s AE Services Limited of UK on November 15, 1985 at the behest of Quattrocchi.
Quattrocchi's son, Massimo Quattrocchi said
the Bofors issue was a "closed chapter" for him.
"It does not concerrn me. It's a closed
chapter. I really don't care. I was 14 when the case broke out. I don't give
a damn. I am not involved. I have nothing to say nothing to add," said
Massimo.
The BJP said the ruling proves their allegation
that kickbacks were paid in the Bofors deal.
"How can it be that CBI says that there
were no kickbacks paid and the top revenue agency is saying that kickbacks
are taxable. This is a discovery of truth by default. After this judicial
order CBI cannot even hide its face," said BJP spokesperson Arun Jaitley.
