Reliance, which had no prior experience in aeronautics, replaced HAL as the Indian partner in the deal. These accusations were centered on Reliance Aerospace, a conglomerate headed by Anil Ambani, a businessman with close ties to Modi. However, Modi's political opponents in the Congress party quickly stepped up criticism of the BJP government, saying the jet purchase was India's "biggest ever" corruption scandal.Ĭongress alleged the BJP government was paying a lot more than the UPA government had negotiated for the jets, and that the BJP was favoring private business over public enterprise. The MMRCA tender for the 126 jets was scrapped in July 2015.Īfter it was finalized in 2016, Modi's new fighter jet deal was touted as a major victory in cutting through red tape by his Bharatiya Janata Party (BJP), which used the occasion to showcase the prime minister as a skilled negotiator. However, after a meeting in April 2015 between Modi and then French President Francois Hollande, it was announced that 36 Rafale jets would be delivered from France to India in flying condition. Modi's new deal, worth €7.8 billion, came as somewhat of a surprise amid reports that the original deal was close to being finalized. Indian Air Force officials posed in front of a Rafale fighter jet at India's Ambala Air Force Station in 2020
However, negotiations between the UPA and Dassault stalled over disagreements that 108 of the planes would be produced in India by the state-owned Hindustan Aeronautics Limited (HAL).ĭassault had concerns over technology transfer to the Indian aerospace company, along with doubts over HAL's capacity to produce the complex aircraft. Modi's 2015 deal came years after India's United Progressive Alliance (UPA), led by the opposition Congress party, led negotiations with Dassault after the French company was chosen as the winner in 2012 of India's Medium Multi-Role Combat Aircraft (MMRCA) competition, which was intended to supply 126 aircraft to the Indian military. Some of the money may have also been given as bribes to Indian officials, the report claimed.ĭassault has said its audits have uncovered no financial malfeasance. The investigation was prompted by a report by the French investigative website Mediapart, which claimed that "millions of euros of hidden commissions" were given to a middleman who helped Dassault conclude the sale. On July 2, France opened a judicial investigation into corruption allegations, according to the national financial prosecutors' office (PNF). Then Indian Defense Minister Rajnath Singh examined the jets in France